The heavy downward market moves last week were based on the financial status of American credit institutions. The heavy upward market moves this week are based on massive movements of the world's biggest market players as they move their capitol between gold, oil, metals, and equities in mad rushes to preserve and increase value.
I strongly reccomend that small investors sail directly to port, and take cover in the most secure positions possible. The credit, commodities, and equities markets are going to undergo extreme volitility as huge sums of big player money attempts to protect itself as global economic activity contracts.
"The SEC's mission to protect investors, maintain orderly markets, and promote capital formation is more important now than it has ever been," said SEC Chairman Christopher Cox. "Today's Commission action aims to stop unlawful manipulation through 'naked' short selling that threatens the stability of financial institutions. We will continue our vigorous commitment to investors by working within the SEC and in close cooperation with our regulatory counterparts to promote the continued health and vibrancy of our markets."
Once upon a time there was a f****d up Connecticut trust fund kid who was so f****d up that he could even f**k up getting f****d up. In fact he got so f****d up he had to stop getting f****d up, although that did not stop him from continuing to be a massive, world-class f**k up in all other respects.
Afterwards daddy’s firm got him various jobs, like it had before, but now they let him out in public, first in Texas and then in Washington. Eventually he had the Preznitcy stolen on his behalf under the cover of the robes of the Supreme Court. Good thing his handlers didn’t let him try to do it himself. He’d have f****d it up.
Progressives pay a lot of attention to right and wrong, to the downtrodden, to the Constitution, but, to figure out what is happening, they need to pay more attention to following the money.
When we last left off with economic worries, the utmost concern at the time was the seemingly endless water torture trickle of the U.S. Dollar. A few months later and we're still relatively in the same spot - sideways trading becoming the norm since about March of this year. The housing market bubble is not done claiming victims just yet...
Friday was a tough day on Wall Street. The Dow (which I spoke of it's actual worthlessness yesterday) spent most of the day down over 200 points and hitting its lowst point in over two years. This was due primarily to worries about the solvency of Freddie Mac and Fannie Mae. Then, at about 2:45, a rumor started that was reported on by all of the financial press:
*Every day, you read and hear about how
the Dow Jones Industrial Average (DJIA)
and Standard & Poor’s (S&P 500® is
used in reference not only to the index
but also to the 500 actual companies, the
stocks of which are included in the index)
performed for the day with the
information sometimes leading the nightly news.
It is hyped, promoted, obsessed over and
followed passionately, but let me ask you
a question:
Nevada is a true (South-)Western swing state: a mixture of hard-righties, surburban indies and liberals, legalize-my-pot and gun-loving libertarians, cohesive unions and a strongly growing latino population.
Historically, Nevada's economy is likely to be exceptionally hard hit by downturns in the nationwide economy. By at least one measure, NV is doing worse than the US as a whole. And how might this effect the elections in November?
I like the Constitution as much as anybody. But given that the CIA and FBI have always done shit under the table, and that Obama says he intends to try to work against key provisions of FISA in the Senate and as Pres: I have to ask, What the heck are we focusing on here? Meanwhile, back at the ranch:
In June alone, employers got rid of 62,000 jobs, bringing total losses so far this year close to a staggering half-million -- 438,000, according to the Labor Department's report released Thursday. The economy needs to generate more than 100,000 new jobs a month for employment to remain stable.
And the unemployment rate is moving steadily higher:
The jobless rate held steady at 5.5 percent after jumping in May by the most in two decades. Still, June's jobless rate was considerably higher than the 4.6 percent of a year ago. The unemployment rate is expected to climb through the rest of this year and top 6 percent early next year.
Well, people... Today was a big day in the financial arena. So, in that light I want to post a few resources to mark the day.
First I want to start with clarifying something that many know but not all. And that is the difference between a bear market and bull market. There are technical definitions, but all you really need to know to understand what is meant is to think of the animals themselves.
A bull is a gentle giant that you can put a yoke on and capture his power to work for you. Clearly this is a good thing as a metaphor for the markets.
A bear is unpredictable, destructive, and will eat you if he has the chance. Clearly this is not a good thing as a metaphor for the markets. Apparently today, the bear walked into the market.
By industry convention, a bear market is defined as a decline of more than 20% from a prior peak. Today, the Dow Jones Industrial Average and the NASDAQ composite closed in bear market territory.
There has been a lot of speculation in the media (and from oil producers) about whether speculation in the market is in large part (or in any part) responsible for the recent run up in oil prices. If this is in fact a large contributing factor, who is benefiting financially?
The Dow lost over 350 points today. Our economy is coming to grips with the inevitable results of the Bush economic theory: take all profits now and don’t worry about tomorrow – spend big, but don’t tax.
Eisenhower warned in his farewell speech, "As we peer into society's future, we -- you and I, and our government -- must avoid the impulse to live only for today, plundering, for our own ease and convenience, the precious resources of tomorrow. We cannot mortgage the material assets of our grandchildren without risking the loss also of their political and spiritual heritage. We want democracy to survive for all generations to come, not to become the insolvent phantom of tomorrow."
Well, the smart money is on Obama winning. FWIW, his biggest individual fundraiser seems to be a guy from Goldman Sachs. I believe the "smart money" knows he's going to win, and, despite the conservative naysayers, any return to financial normalcy aka the Clinton years is actually a boon to these guys. How much of a boon and how it plays out, we'll see.
Now I'm not an investment rep, and I'll disclose what I think below the fold. I welcome all comments. I'm of the school of thought that you do need to invest but it would be great to invest in great companies. However, the due diligence is all your own.
I know there are people here that are hurting and without jobs. My first hope from an Obama Administration is jobs, jobs, jobs. Healthcare is next. But a few of us have a coupla hundred bucks or a bit more to save for our retirement, plan our kids' education. And more money in progressive investors' hands is also more money to donate too.
My name is Stephen Edds, and i am a freelance writer and author of a new book, called "Crazyman's Economics." I am a graduate of Hanover (IN) College and hold a B.A. in Poli Sci. I am a registered independent and a political moderate.
One year ago, I had very little interest in the stock market outside of my 401k performance and the daily stock market report. It was only through doing research for, and writing the book, did I realize how badly we're victim to a corrupt system supported by our government.
I'm on the Daily Kos because I realized that it was going to be the liberal and progressive Americans who will have the courage to address the core corruption of the stock market and commodities market as they are currently designed and implemented. Major reforms need to happen, before the house of cards of our trillions of paper worth crumbles and millions are broke overnight.
I'll be on here posting on economic-related topics, as well as posting diaries pertaining to questions the book raises.
According to Karl Rove, if you repeat something often enough, no matter how ludicrous, it becomes the truth. Some of the most tired and oft-repeated canards are those trotted out by Republicans during each and every election cycle. Whether used as a rallying cry for their base, or as talking points for their sycophant media hacks, these disingenuous notions are somewhat reminiscent of the well-worn slogans of Chairman Mao. And like those "chestnuts" of the so-called "Great Leap Forward," they are most effective when they fall on impressionable, young ears. Ask any "College Republican" and they will enthusiastically parrot a few for your consumption.
