Fears grow over US stock market bubble

Discussion in 'Money Talk$' started by Revmitchell, Sep 14, 2015.

  1. Revmitchell

    Revmitchell
    Expand Collapse
    Well-Known Member

    Joined:
    Feb 18, 2006
    Messages:
    38,378
    Likes Received:
    790
    http://www.ft.com/cms/s/0/85d0becc-58c5-11e5-a28b-50226830d644.html#axzz3lgdbBdjg
     
  2. rsr

    rsr
    Expand Collapse
    <b> 7,000 posts club</b>
    Administrator

    Joined:
    Dec 11, 2001
    Messages:
    10,079
    Likes Received:
    103
    I am unable to read the article; when I say I don't want to subscribe I am sent back to the home page in and endless loop.
     
  3. InTheLight

    InTheLight
    Expand Collapse
    Well-Known Member

    Joined:
    Dec 17, 2010
    Messages:
    16,267
    Likes Received:
    619
    The stock market did not triple since 2009. From the trough (March 2009) to the peak (May 2015) the Dow Jones multiplied about 2.75X.

    At its peak in late 2007 the stock market lost 55% by March 2009. Do you know how much the stock market has to gain back just to reach the same levels after falling 55%? Answer = 122%. That's doubling it and then adding 22%.

    The Dow Jones was at about 14,000 before the crash. It's now at 16,370. That is a 17% gain over seven years. Big Deal.
     
  4. poncho

    poncho
    Expand Collapse
    Banned

    Joined:
    Mar 30, 2004
    Messages:
    19,657
    Likes Received:
    128
    How’s that recovery going for you? That’s what I thought.

    Here’s the latest data point from the ongoing oligarch crime spree shamelessly marketed to the masses as an “economic recovery.”

    From Five-Thirty-Eight:

    The number of homeless students in the country’s classrooms has more than doubled since before the recession, according to recently released federal data. That’s an alarming trend, but a new report offers some hope: At least part of the increase, the authors say, is not because more students have become homeless, but because states have gotten better at identifying homeless students.

    Here’s a visual representation of America’s Banana Republic neo-feualism for those of you so inclined:

    http://libertyblitzkrieg.com/2015/1...oubles-since-before-the-recession/#more-27942
     
  5. poncho

    poncho
    Expand Collapse
    Banned

    Joined:
    Mar 30, 2004
    Messages:
    19,657
    Likes Received:
    128
    Warren Buffett once referred to derivatives as “financial weapons of mass destruction“, and it was inevitable that they would begin to wreak havoc on our financial system at some point. While things may seem somewhat calm on Wall Street at the moment, the truth is that a great deal of trouble is bubbling just under the surface. As you will see below, something happened in mid-September that required an unprecedented 405 billion dollar surge of Treasury collateral into the repo market. I know – that sounds very complicated, so I will try to break it down more simply for you. It appears that some very large institutions have started to get into a significant amount of trouble because of all the reckless betting that they have been doing. This is something that I have warned would happen over and over again. In fact, I have written about it so much that my regular readers are probably sick of hearing about it. But this is what is going to cause the meltdown of our financial system.

    Many out there get upset when I compare derivatives trading to gambling, and perhaps it would be more accurate to describe most derivatives as a form of insurance. The big financial institutions assure us that they have passed off most of the risk on these contracts to others and so there is no reason to worry according to them.

    Well, personally I don’t buy their explanations, and a lot of others don’t either. On a very basic, primitive level, derivatives trading is gambling. This is a point that Jeff Nielson made very eloquently in a piece that he recently published

    Continue . . . http://theeconomiccollapseblog.com/...at-the-great-derivatives-crisis-has-now-begun
     
  6. LadyofLight

    LadyofLight
    Expand Collapse
    New Member

    Joined:
    Oct 10, 2015
    Messages:
    29
    Likes Received:
    1
    Wow... I see this is a good thread to follow, to help me stay informed.
    At least we have Jesus, and He will protect us and provide for us through all the crazy worldly happenings.

    I hope this encourages someone. Wise as serpents, yet gentle as doves. And we are not given a spirit of slavery again to fear but of freedom in Christ. I have to look that verse up again...
     

Share This Page

Loading...