Stock market is freaking out - something is going on

Discussion in 'The War Room' started by dragonsfly, Feb 5, 2018.

  1. VivaRevolution

    VivaRevolution Whoopin' Belt Yellow Card

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    I was hoping for a constant slow decline, for the correction, but I don't think that is possible. I really don't want to be right about our economy.

    This volatility is worrying.
     
  2. xcvbn

    xcvbn Silver Belt Platinum Member

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    our stock exchanges tend to move slowly. We had 10-20% dips in 2015 and it rebounded fine over the past couple years. Kinda have to wait and see over the course of this year and next but I'd be surprised if we see blood in the streets.

    Real estate, on the other hand, has me very concerned. Either we'll see a building boom to match demand and possibly stabilize or lower housing costs, or we'll all paying rent to Chinese landlords within a few years.
     
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  3. KILL KILL

    KILL KILL Gold Belt

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    What's going on with the housing market?

    The area I live is booming, so property costs have been skyrocketing.
     
  4. ndwolfwood

    ndwolfwood Rue and Lament It

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    Classic r selected defense mechanism
     
  5. xcvbn

    xcvbn Silver Belt Platinum Member

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    Prices have skyrocketed everywhere, even in markets where it makes little sense like my Stockton example. I think what we're seeing is a lot(like $1 trillion+) of foreign investment in US real estate. Here in california the chinese have been ruthlessly buying properties ABOVE asking prices in CASH, from LA to the Bay Area to Sacramento.
     
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  6. Orgasmo

    Orgasmo Red Belt

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    Same in Canada

    Vancouver and Toronto are basically off the options table to locals at this point, pushing close to million for condos and $2 million for detached homes. You can't avoid rocketing prices even if you live in nearby towns, since those displaced by the prices also drive them up elsewhere.
     
  7. KILL KILL

    KILL KILL Gold Belt

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    Well damn. That's no good.
     
  8. sub_thug

    sub_thug Silver Belt

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    This is all ridiculous pseudo-anarchist conspiracy theories
     
  9. sub_thug

    sub_thug Silver Belt

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    The difference is that Tesla is the sole-source provider of that futuristic tech. Musk is protected by patents, R&D costs for competitors, and inspires shareholders through a superior vision. Amazon, on the other hand, is about eliminating all waste from their distribution process. Eventually, Amazon will have to expand its market because there won’t be any more waste to cut. If not for AWS, they won’t even be profitable.
     
  10. HatchetHarry

    HatchetHarry Banned Banned

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    Made money on ViX this week.


    Ballin
     
  11. AznTrojan

    AznTrojan Silver Belt

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    sheeit.. i bought tsla when it was near 360.. lost a little bit of dough but i sold it all and bought NVDA and made it back really quickly
     
    Last edited: Feb 9, 2018
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  12. Pseudo Sane

    Pseudo Sane Brown Belt

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    I wish I could find a house in my area for 300k.

    The average is more like 700k now.
     
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  13. jeffk

    jeffk Brown Belt

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    I went about 75% cash when the S&P went above 2800. The question now is where to re-enter the market.

    I missed out and didn't invest new money last year because I waited for weakness.

    To time the market you have to be right twice. It isn't easy to do.
     
  14. jeffk

    jeffk Brown Belt

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    What I don't get is how a stock like Netflix is trading where it is at. Even with the slight decline now it is trading something like at a multiple of 190 PE multiple and has a lot of debt. I have a co-worker who has made a ton off netflix and she doesn't know anything about investing. So I am bitter.

    With Amazon Prime, HBO streaming, and Disney getting Fox content along with ESPN content and they plan to have their own streaming service, I see a lot of competition for streaming content and don't see people willing to pay for a lot of streaming services.

    If I had any balls, I would short Netflix.
     
  15. VivaRevolution

    VivaRevolution Whoopin' Belt Yellow Card

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    Not me. Content for dollar, I'll still take netflix over anything else. As long as that is true, they will be fine.
     
  16. luckyshot

    luckyshot VP of the ENTIRE WR

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  17. Cubo de Sangre

    Cubo de Sangre Steel Belt

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    Anybody else like utilities as a basic long-term play?
     
  18. ElKarlo

    ElKarlo Gold Belt

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    I don't know. With wind and solar there may be some serious disruption coming. if yoy want safety go consumer staples.
     
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  19. Cubo de Sangre

    Cubo de Sangre Steel Belt

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    Any disruption is decades away. Private utilities invest infrastructure and return a set rate on that, cost of delivery, and operating expenses. It's statutory. Think 8-10%. Provided the utilities maintain their return with timely rate-case filings, it's a guaranteed profit. Even if people use less of it, the standby-charges will adjust to maintain that rate of return.

    tl;dr: Regulated monopoly.
     
  20. VivaRevolution

    VivaRevolution Whoopin' Belt Yellow Card

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    Yeah, it is a good safe play.
     
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