Is the stock market going to tank?

[Benny Profane]

Coastal crap boxes to the moon!

I have two friends on Long Island trying to sell in order to go down to Florida. One bought already, but both have no bites. Nice houses. I don 't think lower rates will help that. Nobody has any money.

[BmillsSkier]

I have two friends on Long Island trying to sell in order to go down to Florida. One bought already, but both have no bites. Nice houses. I don 't think lower rates will help that. Nobody has any money.

I notice you just said "Long Island", that may be why.

[Benny Profane]

http://www.telegraph.co.uk/finance/e...manent-QE.html

[Bromontana]

classic british tabloid horseshit

"We will find out soon whether or not this a replay of 1937 when the authorities drained stimulus too early, and set off the second leg of the Great Depression."

"...suggest that the US Federal Reserve will not be able to raise interest rates next year, or the year after, or ever, one might say."

"This is the Ninth Circle of Hell in economics"

Nonsensical hyperbole, shit grammar and ponderous drivel cobbled together apparently clear the bar over at the Telegraph.

[Benny Profane]

You should relax and search up some of Pritchard's stuff. You'll learn a little. Or maybe not. Have a nice day.

[Bromontana]

You should relax and search up some of Pritchard's stuff. You'll learn a little. Or maybe not. Have a nice day.

He notes a "crash" in oil prices as reflecting global economic stress, only to admit the Saudis and US supply gorwth account for a drift towards $85. We're <10% below that, yet he intones this is a crash? He's sensationalizing for clicks, not providing meaningful commentary.

To be clear, I'm not denying problems exist. Just pointing out his delivery is vomit-worthy.

[Benny Profane]

Stop it. Read.

No, wait, just put whatever money you have on black.

Have a nice day.

[Bromontana]

I wouldn't be so abrasive towards you if you actually put together a meaningful paragraph once in a while. Instead you deflect and let your view rise and fall with the indices. Kind of hard to take you seriously on the subject.

Last week you noted how cheap your next Italy vacay will be. This week the sky is falling.

[Benny Profane]

What the fuck are you talking about?

Here asshole, maybe the NYT is up to your demanding standards.

http://www.nytimes.com/2014/10/16/wo...T.nav=top-news

That's what Pritchard is warning us. Fucking massive deflation. Russia is in a shitload of trouble, and so is Iran and Venezuela. All may not be that important to the world's economy, but it certainly won't help, with Europe heading into a depression, if they aren't there already, and China, with debts at over 250% of GDP deciding they have far too many empty condos and steel factories and high speed trains to nowhere to continue the madness. You tell me where growth will come from, genius.

Have a really nice fucking day. Whither the markets.

[4matic]

Another busy day. I've seen this action many times. Low put in at exactly 4AM Pacific. Pre-market was down 300 in $INDU at 4AM

[Bromontana]

You challenge me to provide a thesis for growth, but the initial article - which spawned this conversation - suggested we are headed to the "Ninth Circle of Hell in economics." Sure, if X potential outcomes occur in the next 10 months that might happen, but of what use is a scare piece focused on a 2-4 sigma event?

[4matic]

Small cap well off the lows of yesterday and today. It is options expiration today.

[4matic]

Issue for Fed is one of the only places they have been successful is raising asset prices and therefore the wealth affect. If asset prices falter (aka stocks) the wealth affect will be diminished and GDP will be affected. Fake economy is real.

[liv2ski]

the initial article - which spawned this conversation - suggested we are headed to the "Ninth Circle of Hell in economics." Sure, if X potential outcomes occur in the next 10 months that might happen, but of what use is a scare piece focused on a 2-4 sigma event?

Like Benny, out of boredom, I use to read all the Zerohedge, we are going over a cliff stuff a year or so ago. Then I woke up one day and said "fuck it, who really cares. I have no control over what happens, so I may as well enjoy myself, as much as possible, before the shit hits the fan". I am amazed at Central Plannings ability to just keep kicking that can down the road. I would not be surprised at all if they keep it going the rest of my lifetime.
As far as the market is concerned, who cares if the S&P goes back down to 666 and R.E. prices collapse 50%? All that will happen is at the bottom, people will buy back in, rinse and repeat.

[Benny Profane]

Issue for Fed is one of the only places they have been successful is raising asset prices and therefore the wealth affect. If asset prices falter (aka stocks) the wealth affect will be diminished and GDP will be affected. Fake economy is real.

No, it's not just stocks, it's real estate, too, the largest asset most of the middle class own. Imagine the RE market if the FED didn't stimulate, along with the Treasury at it's side. RE would be worth probably 30% less at least, and the carnage to both individual net worth and financial institutions worldwide would be dramatic.

[liv2ski]

And with this just in, maybe buy Lockheed stock on the dips: https://finance.yahoo.com/news/lockh...--finance.html

[Bromontana]

Re: Benny- for sure. And the fed would be immediately disbanded or replaced if they set in motion that kind of irresponsible shit- I mean shift. So of what use is imagining the impact of unrealistic policy changes?

[creaky fossil]

Like Benny, out of boredom, I use to read all the Zerohedge, we are going over a cliff stuff a year or so ago. Then I woke up one day and said "fuck it, who really cares. I have no control over what happens, so I may as well enjoy myself, as much as possible, before the shit hits the fan". I am amazed at Central Plannings ability to just keep kicking that can down the road. I would not be surprised at all if they keep it going the rest of my lifetime.

The can metaphor is perfect. Since the Great Minds of Humanity concluded the world is not cubic or flat, but rather a ball/egg thing, the can can keep being kicked around and around and around like a spirograph.

At a certain level the doomsaying is interesting/useful -- mostly at the level of benign innocence awakening to actual human competitiveness displays in fields other than sports and scholastics. Once you realize Our Leaders aren't noble humans trying for everyone's betterment, the doomsaying is old hat, it's always got destruction at work, this system of ours, we humans are destructive creatures. We confuse destruction with progress because we put something in the place of what we destroyed. Rarely do we ask if what's been "developed" in the wake of the destruction was actually beneficial in any way but commercial. So this is all we have? I guess so.

[Bromontana]

When people like Shiller give thoughtful input on the various weaknesses and relative strengths I listen. But when hyperbolic journalists masquerade as economists with non sequiturs and false premises, I puke a little.

[4matic]

Huge reversal in Treasury Bonds. Biggest I've ever seen in one day. Not the biggest change, but biggest reversal. Ten year rate back to 2.15%

[4matic]

Trick or treat:

Fed's Bullard says QE3 could last longer than October.

[pepperdawg]

Buy Rough Rice futures!!!1

Or Penny Stox like MMMW.

[Benny Profane]

Trick or treat:

Fed's Bullard says QE3 could last longer than October.

No shit.

[Bromontana]

Trick or treat:

Fed's Bullard says QE3 could last longer than October.

Once again equities become a relative buy. ABCD past 17k Dow, 2k S&P. Higher volatility should stay though.

[Gcooker]

Wow, saw my morning price sheet and realized my zinc, copper and tin inventory just lost a shit load of value. Time to start averaging.