Dow 7,500

[smokingman]

Haven't been following Kalifornia closely but if not already Bankrupt on the verge but they still continue to grow government and wasteful spending. Financial News this morning said that Obama was looking for a 2nd Trillion Dollar Loan but the Japanese are in dire straits and with the falling oil prices, OPEC doesn't have or want to loan us the money.

I'm trading my dollars for hard good items for later use when they either become unavailable or cost prohibitive due to inflation and further devaluation of the dollar.

Things will get much worse before we bottom out and Obama may truly rule during the Bleakest (Blackest) of times for America.

I sent out several emails to Kalifornia leadership...something along the lines of get the 1million illegals off welfare...and your budget would be balanced. I even gave them some stats from there own records(over 1million illegals get food stamps there). I did not get any replies lol.
I also think we are in a depression rather most realize it or not. When the hyper inflation hits the dollar will be worthless,bread at 10 dollars a loaf,gas at 15 dollars a gallon,and food cost will be horrific..not to mention what everything else will be.Dow below 5000 should not be to hard to hit. Just wait until China cuts the USA credit rating...then the swhtf.

 

[6birds]

Don't miss the opportunity of a lifetime! Do you have any idea what a few hundred a month can buy right now? You're locking in on future cash by buying at 15-30 year lows in some industries! Get an investment planner today, review his fees, and save, save, save! Cut costs where you have to, but invest every dime you can right now.

This isn't about Bush or Obama. This is about making more money than you spend, and setting aside enough to multiply on the market while you enjoy shooting, golfing, or knitting.

 

[CarmelHP]

So, how about if it is another 1929? It would have taken you 25 years to even recover your investment. If you have 25 years to wait, go for it.

Don't miss the opportunity of a lifetime! Do you have any idea what a few hundred a month can buy right now? You're locking in on future cash by buying at 15-30 year lows in some industries! Get an investment planner today, review his fees, and save, save, save! Cut costs where you have to, but invest every dime you can right now.

This isn't about Bush or Obama. This is about making more money than you spend, and setting aside enough to multiply on the market while you enjoy shooting, golfing, or knitting.

 

[6birds]

I have 27 years actually. Plenty of time to reap great returns, over and over and over again. That was my point.

The DOW or S&P doesn't set my spending budget, my income does. The Gov't is not going to send me more money, I have to earn it. Same as when the Dow was headed for 12,000, my house was "worth" 60K more (only if I was going to sell it), and Bush was in the White House.

I see it as one hell of a good opportunity if you can see past the media doom/gloom!

 

[Prometheus]

I have 27 years actually. Plenty of time to reap great returns, over and over and over again. That was my point.

The DOW or S&P doesn't set my spending budget, my income does. The Gov't is not going to send me more money, I have to earn it. Same as when the Dow was headed for 12,000, my house was "worth" 60K more (only if I was going to sell it), and Bush was in the White House.

I see it as one hell of a good opportunity if you can see past the media doom/gloom!

When I look at my 2 and 4 year old daughters I thank God for people like you. Believe in the lie. Every year that passes is one more year my girls get closer to maturity and I can breathe a bit easier.

If you think you can guess which companies won't go bankrupt before you can turn a profit, you must be a prophet. What you people believe is that "If i can ride it I'll be rich!" This beliefs discounts that the companies stock you own (which you may not, your broker can buy on margin and pass the buck for 3 days, look into that) won't go bankrupt before you "get rich".

Greed. It got us here. It is the only thing keep the system afloat right now. Unless you are one of the big boys, you'll get left holding an empty bag.

They are going to rename the great depression to the little depression when this thing hits home.

 

[6birds]

Then bury your cash in the front lawn, I'll meet you for a beer in 20 years and compare notes. I'll buy.

 

[Royal-1]

I would like to add one of the best links to understanding what has happened and what is now happening.

Please take this Crash Course

Chris Martenson explains it all in an easy way. And what he says, I have yet to find someone that can discredit it. Well worth the time spent watching all the chapters.

I read the blog on his site everyday now. Lots of news commentary.

The future is going to be very different from our current situation.

Hang on and be ready for the worst.

 

[6birds]

Thanks for the link!

 

[CarmelHP]

Remember, that 25 years was only to recoup your initial investment, those final two years are going to have to be some helluva bull market to start to make money.

I have 27 years actually. Plenty of time to reap great returns, over and over and over again. That was my point.

 

[Warwagon]

Then bury your cash in the front lawn, I'll meet you for a beer in 20 years and compare notes. I'll buy.

With Food Stamps.....


Look at tier 2 and tier 3 autoparts suppliers in the country. You have 875,000 + workers at risk if a 32% reduction in workforce happens due to a BK by one of the big 5 auto makers. Estimates of layoffs are in excess of 60% and tier 2&3 BK's are estimated at 73%. That means over 3 M people out of a job there alone. There will be a trickle down affect in the local economies as well.

we're only talking about AUTO's. What about the local CVS, or hardwarestore?

Charts and technical levels don't work in this market.


Be sure to stay off my front lawn. I like 9mm and love .223. Nothing like 30 of them chasing each other.

continue on with your financial advice. Let's talk about insurance and crop financing next. I'd like your thoughts. {32/23 split on crop insurance rates on the market right now] (after you graduate with your Sociology degree in messianic fiscal policy.)

 

[CarmelHP]

The sig line I've been using for the past few months:

"Of all the offspring of Time, Error is the most ancient, and is so old and familiar an acquaintance, that Truth, when discovered, comes upon most of us like an intruder, and meets the intruder's welcome." (Mackay, 1841)

is excerpted from Extraordinary Popular Delusions and the Madness of Crowds

That book was written in 1841, mostly in regard to asset bubbles. What we're seeing is nothing new, except for the immense magnitude, and civilizations have staggered and fallen over the same type of follies. Let's hope we avoid the same fate.

 

[Warwagon]

... wrong post!!

sorry.

 

[Prometheus]

Then bury your cash in the front lawn, I'll meet you for a beer in 20 years and compare notes. I'll buy.

If I were to do that I think we'd be in the same place. Destitute.

Be it due to inflation (hyper inflation IS coming) or the fact the USD doesn't survive the dollar is doomed.

Thanks for the beer though

 

[6birds]

You guys are still missing the point. The DOW does not relate to your standard of living. If you decide to step in front of a bus just because the Dow drops below 5000, go for it. Glass half empty, I get it, have another glass of kool-aid. Kinda like the other post in Survival about the US economy never ever ever recovering. Must be fun talking to that guy every day!

If you are giving up because of a news report, and that is example you want to set for your kids, your choice. My grandfather learned a lesson during the depression, and he passed that ethic on to our family. Enjoy what you have, with the people you are with, share with others, work hard, save for your childrens future, and show them by good example. (You don't have to be a prophet in the market to save money.)

Carmel HP, I hope you get that grant to take an Economics course. You can explain it to Prometheus and I over that beer.

 

[Flaregun]

6birds, you are wasting your breath. Many of these guys kinda yearn for drama.

Hyper inflation probably will happen, and if you try to save your way out of it you may end up hunting for firewood in January. It is coming to the point where people will need to invest in something that will keep up with inflation. Personally, I think that may be natural gas.

 

[Royal-1]

Just because the Dow crashes, your right, it is not a reason to give up. I think the thought toward it is, not if it is going to happen but when, so putting your money into something non-tangible right now seems like a waste like company stocks. I can't eat gold & silver and I know lots of people are saying that is what to buy now.

I figure take care of the basics, food, water, shelter, & protection. If I have time and have money after all the true needs are met then I might consider some kind of wealth preservation.

You must discover what is a "need" and what is a "want". Get your priorities in order.

 

[6birds]

Thanks

Flare, Royal, you get it, thanks for saying so. "If I have time and have money after all the true needs are met then I might consider some kind of wealth preservation."

That was my point exactly! If you can afford to put some aside (which I can), then do so.

You're invited for the beer too!

 

[CarmelHP]

I think you're missing the point. You're advising great to invest in stocks right now without noting the timing risks. You don't even know if you're in the bottom of the trough yet, if you're buying on the downslope, or what kind of timeline to breakeven we're looking at. If the Dow does not relate to standard or living, and it may or may not depending on individual circumstance, why are you suggesting people jump? I'm trained to recognize bullsh*t. There's a lot of it coming from both bulls and bears.

You guys are still missing the point. The DOW does not relate to your standard of living. If you decide to step in front of a bus just because the Dow drops below 5000, go for it. Glass half empty, I get it, have another glass of kool-aid. Kinda like the other post in Survival about the US economy never ever ever recovering. Must be fun talking to that guy every day!

If you are giving up because of a news report, and that is example you want to set for your kids, your choice. My grandfather learned a lesson during the depression, and he passed that ethic on to our family. Enjoy what you have, with the people you are with, share with others, work hard, save for your childrens future, and show them by good example. (You don't have to be a prophet in the market to save money.)

Carmel HP, I hope you get that grant to take an Economics course. You can explain it to Prometheus and I over that beer.

 

[Flaregun]

I am not promoting stocks. Not at all. My point is if inflation gets bad over the next year, your savings will buy 75% of what it will today, so investing in something may be better than a big savings. I think right now real estate is starting to look good, one thing that beats a bug out bag/truck or gun collection may just be a farm in Brown county?

If you like where you live, then look at the commodities right now, you gota think that Natural gas is going to be hot in a few years once carbon tax is levied on all coal and oils?

 

[Prometheus]

You guys are still missing the point. The DOW does not relate to your standard of living.

I am not retired. I do not day trade. So does it directly impact me? Directly? No.

Indirectly HELL YES!

60 year old retiree living off of their retirement accounts. They took (on average) a 48% hit last year on their portfolio's. You mean to tell me that MILLIONS of retirees haven't had their standard of living DRAMATICALLY impacted?

You think these people won't have to go out andtry to get jobs to supplement that?

How about a fellow surgeon I work with. He was retiring last December. With his hit in the markets he estimates he will have to work another 2 and half years before he can retire. Thats another 2.5 years that he is sucking up surgical cases other surgeons should be doing.

The markets today and the markets of previous are vastly different in that tens of millions of people are DIRECTLY COUNTING on their retirement income to come from what the DOW and other markets do.

I hope I've cleared up the point you previously missed. EVERYONE from the kid working mcdonalds who has to now compete with Grandpa for his job and unemployed factory workers to fired financial professionals.

Simply put:

People who wanted to retire can't.

People who are retired have to return to the work force.

People are losing their jobs and trying to get new ones.