Economy Stock Market Has Worst Week Since 2008

[abiG]

RE: These things don't take place in a vacuum.

A Vanguard study covering the last 50 years included 11 periods where the Fed raised interest rates. 10 of those 11 periods resulted in the market rising.

Stop with the uninformed Trump ball gargling.

I read it and I would care for its conclusions had they even attempted to control for extraneous and confounding variables.

 

[Hognoxious]

Obviously there different systems..but you don’t have to be a rocket scientist to not see the correlation.
To infer that one has no bearing on the other...either implies you are a troll or too stupid to have this discussion, I’m leaning on troll..
Because damn it, chevy chase is the man.

I am glad you agree with me now after such harsh words. I will differ slightly though with you on last statement. You can print enough money to make the market go higher while the underlying economy struggles. This was the case under Obama. He stole straight from the Zimbabwe economic playbook.

 

[ScottE]

This has zero to do with Trump or tax cuts and everything to do with the Fed raising the rates.

I agree you are no economist.

You're having to ignore market activity in response to other events and the predictability and reason for the FED increases.

There's been substantial negative market activity because there is uncertainty that towards the ability of many companies to hit their revenue projections as a result of Trump's trade policies. You can see evidence pf this in the reaction to the fake news of Trump making inroads in ending trade hostility with China. The market shot up in response to that announcement from the WH. When it came out that was a misrepresentation of what occured the market tumbled even lower then just erasing those gains. That's a direct response to Trump's trade policy and his penchant for erratic behavior.

Additionally the stance the Trump administration is taking expressing disbelief in the FED increases showcases the administration is playing dumb as to the economy they inherited and the actions they've undertaken.

The economy had been growing for years, something the administration wants to deny, with interest rates set very low. That substantially indicates rates would go up in the near future as occurs in strong economies, but Trump is incapable or unwilling to consider that he was handed a strong economy. And then the GOP decides to undertake policy designed to further increase economic growth in an already growing economy at near full employment. Basic economic understanding would indicate that action is very much likely to cause interest rate hikes. If you take an action with a predictable reaction, that reaction is on you.

We are just seeing the unsustainabilty of short-sighted economic policy. Much of which has been implemented or ramped up by the recent GOP Congress and the Trump administration.

 

[ultramanhyata]

I read it and I would care for its conclusions had they even attempted to control for extraneous and confounding variables.

lol Just admit you're a naked propagandist who doesn't know what the fuck you're talking about when it comes to the relationship between the performance of the markets and interest rate hikes.

 

[Madmick]

But wasnt the tax cuts meant to make the market flush with cash. Why is everything going south?

Don't be histrionic. Unemployment, wage growth, and real GDP are all way up which leaves them in a reversed trend from the recession we appeared to be entering at the end of Obama's second term. Just caught a Moody Analyst on CNBC the other night and even he had nothing but rosy things to say about the economy in spite of the stock market, but he was just talking about the short term.

The largest recession in recent memory (probably ever) was preceded by 4.7% unemployment rates.

Also a subprime mortgage lending crisis. The two greatest financial crises in this country's history were the result of a collapse of credit schemes where people wanted to have things they couldn't actually afford.

This isn't that stage, but that's where we're headed with the debt inflation. The economy is actually pretty great right now, even if the stock market has turned down significantly in recent months, but it's all on borrowed time. The American people as a group are now on track to overextend our credit to historic proportions that would have made even President Obama's eyes water.

Nobody escapes the toll, ultimately. Death and taxes.

 

[JoshTehV]

Sure thing Iron Maiden fish guy. Bet you bought that fish in the market to fake that photo.

Reeeeeeee

I caught it on a mojo rigged with 3/32 oz bullet weight to a june bug Yum Swimming dinger 6in , on med light ugly stik gx 2 youth combo spooled with some random 8 lb smoke colored mono

I lied, I caught my pb on that setup the first time I ever went bass fishing. I caught this one on a live golden shiner i caught with the end of a ribbon tail yum dinger on a small ealge claw bait holder. It was an instant bite and it felt like the shiner was hit with a damn hammer. I aint no googan

 

[brackis1]

Don't be histrionic. Unemployment, wage growth, and real GDP are all way up which leaves them in a reversed trend from the recession we appeared to be entering at the end of Obama's second term. Just caught a Moody Analyst on CNBC the other night and even he had nothing but rosy things to say about the economy in spite of the stock market, but he was just talking about the short term.

Also a subprime mortgage lending crisis. The two greatest financial crises in this country's history were the result of a collapse of credit schemes where people wanted to have things they couldn't actually afford.

This isn't that stage, but that's where we're headed with the debt inflation. The economy is actually pretty great right now, even if the stock market has turned down significantly in recent months, but it's all on borrowed time. The American people as a group are now on track to overextend our credit to historic proportions that would have made even President Obama's eyes water.

Nobody escapes the toll, ultimately. Death and taxes.

CNBC brings in a sophisticate gradient (emphasis on the sophist part) of opinions from extreme bulls to bears and if you caught just one you'd want to research their positions and views expressed over time.

Wage Growth is not up proportionate to CPI/inflation and we don't have people to fill the good jobs and an excess of people for the shit jobs.
Unemployment is the lowest since 1969. How'd the stock market do that year?

Longterm yes GDP can grow at a great rate, but we have a lot of economic issues to work through including some industrial turnover as some tech rises and other falls.

 

[ScottE]

Also a subprime mortgage lending crisis. The two greatest financial crises in this country's history were the result of a collapse of credit schemes where people wanted to have things they couldn't actually afford.

Putting it at the feet of the people taking the loans is ignoring that the lending institutions were writing loans they knew couldn't sustain themselves, to people they knew didn't know better, all to satisfy the demand for things to securitize and sell down the line.

People don't take those impossible for them to pay loans unless they have a lender willing to give them. A lender that a reasonable person would assume wants the loan to be feasible and to get paid back. But everything going on upstream made that not a concern.

 

[Madmick]

CNBC brings in a sophisticate gradient (emphasis on the sophist part) of opinions from extreme bulls to bears and if you caught just one you'd want to research their positions and views expressed over time.

Wage Growth is not up proportionate to CPI/inflation and we don't have people to fill the good jobs and an excess of people for the shit jobs.
Unemployment is the lowest since 1969. How'd the stock market do that year?

Longterm yes GDP can grow at a great rate, but we have a lot of economic issues to work through including some industrial turnover as some tech rises and other falls.

• U.S. Workers Get Biggest Pay Increase in Nearly a Decade
• Wages Are Growing Faster Than You Think
• Wages Rise at Fastest Rate in Nearly a Decade as Hiring Jumps
• Hiring Slows as Wages Grow, Unemployment...

Okay. The front page of the business section had a pretty comprehensive piece breaking down unemployment and wage growth by sector, and it was all quite rosy in the short term.

 

[Headkicktoleg]

Trump running the US economy like one of his casino’s. Trump has a long history of running things into the ground. This should be no surprise, US economy always tank when a Republican is President.

oh so now Trump is solely responsible for the economy?

 

[brackis1]

• U.S. Workers Get Biggest Pay Increase in Nearly a Decade
• Wages Are Growing Faster Than You Think
• Wages Rise at Fastest Rate in Nearly a Decade as Hiring Jumps
• Hiring Slows as Wages Grow, Unemployment...

Okay. The front page of the business section had a pretty comprehensive piece breaking down unemployment and wage growth by sector, and it was all quite rosy in the short term.

Only 1 of those articles addresses inflation and does it in a roundabout way in an opinion piece by saying that basically people's real wages will rise because they get older and higher paying employees retire (which isn't wage growth at all, it's friggin how ladder climbing works lol) and it's is a Hoover Institute guy. His other cop out is that the CPI isn't a good predictor of inflation. Does this dude not live in the world where everything is rapidly rising in price and nobody can afford housing. We have the highest rental rate since 1965.

You can disagree I guess and pull more articles that disagree, but it plays into my earlier point that economists will squawk a variety of predictions based off indicators. I suspect once the consumer confidence levels start to drop things start getting bad when all these retail and service businesses start losing the overconsuming middle class and have to make cuts.

 

[Foots]

Thanks, Trumpy.

 

[ocfightfan]

Putting more money into the hands of consumers and investors rather than bureaucrats is a bad thing? Okey doke.

 

[Prefect]

First off, the economy and the stock market are not the same thing.

It isn't but there isn't anything that is better for something so complicated.

 

[Headkicktoleg]

Thanks, Trumpy.

I used to live in Germantown, MD!

 

[Madmick]

Only 1 of those articles addresses inflation and does it in a roundabout way in an opinion piece by saying that basically people's real wages will rise because they get older and higher paying employees retire (which isn't wage growth at all, it's friggin how ladder climbing works lol) and it's is a Hoover Institute guy. His other cop out is that the CPI isn't a good predictor of inflation. Does this dude not live in the world where everything is rapidly rising in price and nobody can afford housing. We have the highest rental rate since 1965.

You can disagree I guess and pull more articles that disagree, but it plays into my earlier point that economists will squawk a variety of predictions based off indicators. I suspect once the consumer confidence levels start to drop things start getting bad when all these retail and service businesses start losing the overconsuming middle class and have to make cuts.

Well, real wage growth (adjusting for inflation) isn't the same thing as wage growth relative to purchasing power, so you're sort of doing the same thing, aren't you? For that reason I always find the CPI citations to be highly salient, and since raw growth unavoidably inflates the hell out of everything, I don't think anyone is being sophist by citing raw figures for wage growth. There are a slew of "contexts" that we can use to present this.
https://www.forbes.com/sites/eriksh...me-is-only-up-by-5-1-since-2006/#647eac4365dc

I fully appreciate a more bearish view of where we are headed, or even of where we are right now, as it should be clear I don't believe in Trump's comprehensive approach at all, but even if we allow for you context things are better than they were under Obama (even if Obama's performance worsened as his model became more sustainable because he felt he had spent wildly enough to dig us out of the Great Recession).

 

[brackis1]

Well, real wage growth (adjusting for inflation) isn't the same thing as wage growth relative to purchasing power, so you're sort of doing the same thing, aren't you? For that reason I always find the CPI citations to be highly salient, and since raw growth unavoidably inflates the hell out of everything, I don't think anyone is being sophist by citing raw figures for wage growth. There are a slew of "contexts" that we can use to present this.
https://www.forbes.com/sites/eriksh...me-is-only-up-by-5-1-since-2006/#647eac4365dc

I fully appreciate a more bearish view of where we are headed, or even of where we are right now, as it should be clear I don't believe in Trump's comprehensive approach at all, but even if we allow for you context things are better than they were under Obama (even if Obama's performance worsened as his model became more sustainable because he felt he had spent wildly enough to dig us out of the Great Recession).

The sophistry comment was in regard to how financial news networks/publications trot out a variety of viewpoints like a investment brothel, such that whatever you heard on CNBC could be a fleeting view.

You lost me on the Obama thing. My view is that the market should be doing this because society is too unequal and too loaded with companies built around growth and too many dumb people earning fake money through things like real estate flipping and the sort.

 

[DEN]

Reeeeeeee

I caught it on a mojo rigged with 3/32 oz bullet weight to a june bug Yum Swimming dinger 6in , on med light ugly stik gx 2 youth combo spooled with some random 8 lb smoke colored mono

I lied, I caught my pb on that setup the first time I ever went bass fishing. I caught this one on a live golden shiner i caught with the end of a ribbon tail yum dinger on a small ealge claw bait holder. It was an instant bite and it felt like the shiner was hit with a damn hammer. I aint no googan

 

[JoshTehV]

Forgot to mention the 4/0 offset gamakatsu EWG worm hook. Are you a happy little googan now?

 

[JoshTehV]

They don't sell sport fish at the fish market anyways, because selling sport fish is illegal. Striped bass on the other hand in invasive on the westcoast and you'll see them live at your local ching chong store