kraychik Posted August 22, 2015 Report Posted August 22, 2015 When the Great Depression began in 1929 people suffered terribly, but all the money was still there, but for a lot of really dumb reasons wasn't spread around....until WW2 when all of a sudden there was lots of capital to fight Germany, Italy and Japan. Where did that capital come from? If Canada has tied itself too closely to world markets, like it seems to have done, we will suffer. (not like the Great Depression, hopefully) Canada needs to create an attitude of independence. Yes and no. Globalization is a double-edged sword when it comes to economic risk for Canada. On the one hand, risk is more dispersed along a broader economy. On the other hand, we have less control over the flow of goods and services we might consider "essential" as the means of production for these goods and services are beyond our sovereignty. Quote
sharkman Posted August 22, 2015 Report Posted August 22, 2015 After today, there are a lot of companies down to pretty good value to buy in at across all sectors. I'm hoping we get a few more days like this next week! We should get at least one more, I'd say. Quote
msj Posted August 22, 2015 Report Posted August 22, 2015 Yeah, with today being another down day, I'm starting to re-deploy some cash reserves to be ready to buy some more. Yep, I have found some more cash and am looking forward to next week. Quote If a believer demands that I, as a non-believer, observe his taboos in the public domain, he is not asking for my respect but for my submission. And that is incompatible with a secular democracy. Flemming Rose (Dutch journalist) My biggest takeaway from economics is that the past wasn't as good as you remember, the present isn't as bad as you think, and the future will be better than you anticipate. Morgan Housel http://www.fool.com/investing/general/2016/01/14/things-im-pretty-sure-about.aspx
Argus Posted August 22, 2015 Report Posted August 22, 2015 You'll get a much better return if you buy Iranian Rials. I was just looking at the exchange rate before and after sanctions and with all of the countries lining up and ready to invest into the country, their currency rate will for sure go up over 100%. Until the Israelis bomb their oil industry, then watch your investment collapse... Quote "A liberal is someone who claims to be open to all points of view — and then is surprised and offended to find there are other points of view.” William F Buckley
WIP Posted August 22, 2015 Report Posted August 22, 2015 If Canada has tied itself too closely to world markets, like it seems to have done, we will suffer. (not like the Great Depression, hopefully) Canada has long been dependent on resource exploitation and export, but this Prime Minister (who you tell us you support now) has followed the same strategy as Australia's.....thinking we could just keep supplying more and more dirty energy resources to an ever-upward Chinese economy.....how has that been working out lately? It's about to get much worse next year and the year after! Quote Anybody who believers exponential growth can go on forever in a finite world is either a madman or an economist. -- Kenneth Boulding, 1973
socialist Posted August 22, 2015 Author Report Posted August 22, 2015 Canada has long been dependent on resource exploitation and export, but this Prime Minister (who you tell us you support now) has followed the same strategy as Australia's.....thinking we could just keep supplying more and more dirty energy resources to an ever-upward Chinese economy.....how has that been working out lately? It's about to get much worse next year and the year after! China is in trouble, for sure. The question will be whether JT will continue to admire Red CHINA. Quote Thankful to have become a free thinker.
WIP Posted August 22, 2015 Report Posted August 22, 2015 There's no way to predict a bottom. But when it bounces back it tends to be with a +350 point day, after which you've lost a lot of your chances. You guys are just as bad as these economists who pollute the news broadcasts! Nobody actually knows the values of any of these international markets ever since we discovered the still-growing quantity of derivative investments made on the side, along with the currency price-fixing scams like the almost never heard of LIBOR scandal which was swept under the rug. But the fundamental problem is that economists work the math of trendline analysis and never consider that their wizardry only works as long as economies still have capacity for growth...and in the real world...the real finite world we all have to live in, there are LIMITS to growth and I would argue that we are hitting those limits now. For an economist, nature is just a set of raw materials waiting to be turned into products. But in the real world, economies don't work when the natural life support systems we all depend upon no longer function properly! Over the last 40 years, we've squeezed more ketchup out of the bottle, but eventually that bottle empties. And I believe the anemic growth and fake growth (especially in China) are manifestations of the fact that our world is not allowing growth as traditionally understood, and growth now can only come through others losing wealth and having their assets seized. That's mostly why we live in very dangerous times today. So, what if economic growth doesn't come back and the cycle is broken? I think this is why there has been so little attention on the slowing economies in the US and around the world. And when investors start wondering if they will ever see the returns on their longterm investments, that's when the crash happens. Quote Anybody who believers exponential growth can go on forever in a finite world is either a madman or an economist. -- Kenneth Boulding, 1973
WIP Posted August 22, 2015 Report Posted August 22, 2015 China is in trouble, for sure. The question will be whether JT will continue to admire Red CHINA. I really don't care, and nobody else should either, since he's not likely going to be Prime Minister, and even if he did, Liberal Prime Ministers have the tradition of saying anything to win elections and moving left or right afterwards. Quote Anybody who believers exponential growth can go on forever in a finite world is either a madman or an economist. -- Kenneth Boulding, 1973
Bonam Posted August 24, 2015 Report Posted August 24, 2015 Yep, I have found some more cash and am looking forward to next week. Nice buying opportunities at today's open! Already up 5% on a bunch of the stuff I bought this morning. Quote
msj Posted August 24, 2015 Report Posted August 24, 2015 Nice buying opportunities at today's open! Already up 5% on a bunch of the stuff I bought this morning. Nice! Josh Brown pretty much sums up how I respond to corrections/falling markets: http://thereformedbroker.com/2015/08/24/my-little-trick-for-coping-with-a-correction/ My watch list is set and reviewed every few months and if the price of a stock falls to my absurd price I then get an email and then I get to decide if I will buy it or take a pass (and reset a new lower price). This method is probably why, after reviewing my portfolio again over the weekend, I don't currently own anything that I am not happy with. No reason to sell and lots of reasons to buy. Quote If a believer demands that I, as a non-believer, observe his taboos in the public domain, he is not asking for my respect but for my submission. And that is incompatible with a secular democracy. Flemming Rose (Dutch journalist) My biggest takeaway from economics is that the past wasn't as good as you remember, the present isn't as bad as you think, and the future will be better than you anticipate. Morgan Housel http://www.fool.com/investing/general/2016/01/14/things-im-pretty-sure-about.aspx
sharkman Posted August 25, 2015 Report Posted August 25, 2015 We should get at least one more, I'd say. I thought there would be one more DOW tanking day, now I think there could be a couple more days. China dropped 8% in one day, and the rest of the world is realizing things aren't so strong right now. Quote
cybercoma Posted August 25, 2015 Report Posted August 25, 2015 The Asian markets are up Tuesday with the exception of China. It will be business as usual in the American markets today. Quote
cybercoma Posted August 25, 2015 Report Posted August 25, 2015 Not when people were more freaked out yesterday about Australia tanking. Quote
Big Guy Posted August 25, 2015 Report Posted August 25, 2015 Looks like the markets are un-crashing. Quote Note - For those expecting a response from Big Guy: I generally do not read or respond to posts longer then 300 words nor to parsed comments.
cybercoma Posted August 25, 2015 Report Posted August 25, 2015 (edited) Yup. Everything is up so far this morning. Except China. Edited August 25, 2015 by cybercoma Quote
sharkman Posted August 25, 2015 Report Posted August 25, 2015 Yep, everything's completely back to normal. The DOW is down over 2000 points off the year's high, and China's market dropped 8% in one day, but everything's hunky dorry. Quote
cybercoma Posted August 25, 2015 Report Posted August 25, 2015 Where was I talking about historical numbers? I said the market is on the rise this morning and it is. It's business as usual again today. Quote
Argus Posted August 25, 2015 Report Posted August 25, 2015 Nice buying opportunities at today's open! Already up 5% on a bunch of the stuff I bought this morning. And were you still up 5% when the market sank again in the afternoon? Quote "A liberal is someone who claims to be open to all points of view — and then is surprised and offended to find there are other points of view.” William F Buckley
Bonam Posted August 25, 2015 Report Posted August 25, 2015 And were you still up 5% when the market sank again in the afternoon? Nope, but I am again now Quote
Rue Posted August 25, 2015 Report Posted August 25, 2015 So China can't get it up. Send Beyoncé there on a world tour. Quote
WIP Posted August 25, 2015 Report Posted August 25, 2015 Nope, but I am again now When you get to create free money (that everyone accepts) and lend it out at low interest rates, you can reinflate the stock bubble again. But will this keep working forever? Or will a collapse of the US Dollar and stock and bond markets mean the collapse of the entire global system. Quote Anybody who believers exponential growth can go on forever in a finite world is either a madman or an economist. -- Kenneth Boulding, 1973
msj Posted August 25, 2015 Report Posted August 25, 2015 When you get to create free money (that everyone accepts) and lend it out at low interest rates, you can reinflate the stock bubble again. But will this keep working forever? Or will a collapse of the US Dollar and stock and bond markets mean the collapse of the entire global system. I think a collapse in Canada's housing/lending bubbles is more likely. Yes, the US has not learned any lesson from the GFC - how could they with no bankers going to jail, no shareholders/bondholders losing their shirts (well, maybe some dumb ones holding Lehman Brothers but that's it). But Canada hasn't gone through any of that and we carry on, thanks to the commodity boom that China kept going, as if real estate only goes up and, therefore, borrowing more against a rising asset at absurdly low rates is of no risk and no consequence. If unemployment in Canada hits 10-11% then lets have a discussion about cracks and flaws in the system for which there are plenty. Quote If a believer demands that I, as a non-believer, observe his taboos in the public domain, he is not asking for my respect but for my submission. And that is incompatible with a secular democracy. Flemming Rose (Dutch journalist) My biggest takeaway from economics is that the past wasn't as good as you remember, the present isn't as bad as you think, and the future will be better than you anticipate. Morgan Housel http://www.fool.com/investing/general/2016/01/14/things-im-pretty-sure-about.aspx
sharkman Posted August 25, 2015 Report Posted August 25, 2015 The Asian markets are up Tuesday with the exception of China. It will be business as usual in the American markets today. Like I said, today and probably tomorrow will be DOW dropping days, this sure wasn't business as usual today. Quote
msj Posted August 26, 2015 Report Posted August 26, 2015 The Asian markets are up Tuesday with the exception of China. It will be business as usual in the American markets today. Like I said, today and probably tomorrow will be DOW dropping days, this sure wasn't business as usual today. Why are you guys playing this game? You do know that it is a guessing game, right? No one knows when/where the markets are going. If we keep saying they are going to go down, or up, eventually we will be right - like a stopped clock. Instead, why not recognize that the markets are down nicely and are likely a nice buying opportunity for anyone who has time to spend in the market? It's not like anyone is actually going to buy precisely on the market low and then sell precisely on the market high anyway. Quote If a believer demands that I, as a non-believer, observe his taboos in the public domain, he is not asking for my respect but for my submission. And that is incompatible with a secular democracy. Flemming Rose (Dutch journalist) My biggest takeaway from economics is that the past wasn't as good as you remember, the present isn't as bad as you think, and the future will be better than you anticipate. Morgan Housel http://www.fool.com/investing/general/2016/01/14/things-im-pretty-sure-about.aspx
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