Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Interesting reading from The Wall Street Digest
Old 01-06-2006, 04:45 PM   #1
Recycles dryer sheets
 
Join Date: Dec 2005
Posts: 186
Interesting reading from The Wall Street Digest

Stock prices moved dramatically higher today after the December Job Creation report was released. At the close, the Dow gained 77 points, closing at 10,959; the Nasdaq added 28 points, closing at 2,305; and oil closed up $1.42 at $64.21 per barrel. All four major stock market indices broke out to four-and-a-half year new highs today.

U.S. job growth slowed to 108,000 in December. Analysts were expecting 205,000 new jobs. However, the November job creation numbers were revised upward to 305,000 from 215,000. The net revision raised hopes that the Fed will not raise rates at the January 31st FOMC meeting.

While the Fed would like you to believe it is tightening monetary policy by raising short-term interest rates, Greenspan is increasing the M3 money supply at the fastest pace ever. The M3 money supply increased $56 billion last week, $36 billion the week before, and $27 billion the week before that. A super economic boom is on the way. 2006 will be a super year for the economy and the stock market.

Looking forward in 2006, the huge stock market rally in 2003 gives us an accurate preview of which sectors and indices will beat the market and help you to double your wealth before 2010. Be sure to read the January issue of The Wall Street Digest, which is online now.

Liquidity levels are at record bullish levels. Add a 33 percent undervalued stock market and stock prices should move steadily higher between now and May of 2006. You will not see P/E levels this low again until the bottom of the next bear market recession, perhaps in 2015. Treat any pullback as a gift and a buying opportunity.

__________________

__________________
We should all feel blessed!
wstu32 is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Re: Interesting reading from The Wall Street Digest
Old 01-06-2006, 05:11 PM   #2
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
HFWR's Avatar
 
Join Date: May 2005
Location: Lawn chair in Texas
Posts: 12,964
Re: Interesting reading from The Wall Street Digest

Damn, I need a shot of insulin...
__________________

__________________
Have Funds, Will Retire

...not doing anything of true substance...
HFWR is offline   Reply With Quote
Re: Interesting reading from The Wall Street Digest
Old 01-06-2006, 05:13 PM   #3
Recycles dryer sheets
 
Join Date: Dec 2005
Posts: 186
Re: Interesting reading from The Wall Street Digest

na, just enjoy the ride!
__________________
We should all feel blessed!
wstu32 is offline   Reply With Quote
Re: Interesting reading from The Wall Street Digest
Old 01-06-2006, 05:25 PM   #4
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jul 2003
Location: Kansas City
Posts: 7,408
Re: Interesting reading from The Wall Street Digest

Heh heh heh heh

I'm the cockeyed optimist who picked 8500 on the DOW last year!

The VG Asset Allocation fund (25%) portion of my VG Lifestrategy Fund is still holding 100% stocks!

Rats! Maybe I should hurry up and buy some more Norwegian widow stocks before the train leaves the station.

Then again? Perhaps a new kayak - and putz along with my same old asset allocation.
__________________
unclemick is offline   Reply With Quote
Re: Interesting reading from The Wall Street Digest
Old 01-06-2006, 05:30 PM   #5
Recycles dryer sheets
 
Join Date: Dec 2005
Posts: 186
Re: Interesting reading from The Wall Street Digest

what ever makes you sleep at night and makes you feel all warm and fuzy!* * whether its 10% or 100% in stocks...your sanity is more important!

God Bless...


btw:* i am 40. when I was 25 I had 100% stocks... Now I have about 45-50% in stocks
rest in bonds , money market and cash...this does it for me*
__________________
We should all feel blessed!
wstu32 is offline   Reply With Quote
Re: Interesting reading from The Wall Street Digest
Old 01-06-2006, 06:58 PM   #6
Thinks s/he gets paid by the post
greg's Avatar
 
Join Date: Jun 2005
Posts: 1,071
Re: Interesting reading from The Wall Street Digest

Quote:
Originally Posted by wstu32
While the Fed would like you to believe it is tightening monetary policy by raising short-term interest rates, Greenspan is increasing the M3 money supply at the fastest pace ever. The M3 money supply increased $56 billion last week, $36 billion the week before, and $27 billion the week before that. A super economic boom is on the way. 2006 will be a super year for the economy and the stock market.
Oh, boy! I'm only here for a short visit BUT couldn't resist this one. So let's see, if the Fed keeps doing this (and don't forget they're getting rid of M3 soon, so we won't know) then my guesstimate, oh say $30 billion average/week X 52 weeks/yr= about $1.5 trillion total for the year, which is about 10%-13% of Gross Domestic Product. IF my estimate is even close to really possible! I think that puts us in Banana Republic territory for the creation of new money in an economy--but I may be wrong--as usual-- . Dang, that means sooner or later I'll need to make at least 13% on my money to get ahead stay even--after taxes that is.

I like Austrian Economics more than the other kinds, but that's just my prejudice:

http://www.austrianenginomics.com/index.html

--Greg
__________________
Compounding: Never forget! Never not remember!
greg is offline   Reply With Quote
Re: Interesting reading from The Wall Street Digest
Old 01-06-2006, 07:03 PM   #7
Recycles dryer sheets
 
Join Date: Dec 2005
Posts: 186
Re: Interesting reading from The Wall Street Digest

I believe the author is stating that this will be a short lived party!! Eventually we will have to pay the piper. hense, make some dough now, then get out in about 5 years while the economy deflates...
~its all about cycles.

this seems to be the boom before the bust, but as the fed pumps $ into the system, there is undoubably going to be a place where it goes... it has been going into r.e. for some time now, but now the shift is starting to go to the market...
__________________
We should all feel blessed!
wstu32 is offline   Reply With Quote
Re: Interesting reading from The Wall Street Digest
Old 01-06-2006, 07:07 PM   #8
Recycles dryer sheets
 
Join Date: Dec 2005
Posts: 186
Re: Interesting reading from The Wall Street Digest

interesting sight...austrian thingy....

__________________
We should all feel blessed!
wstu32 is offline   Reply With Quote
Re: Interesting reading from The Wall Street Digest
Old 01-06-2006, 07:13 PM   #9
Recycles dryer sheets
 
Join Date: Dec 2005
Posts: 186
Re: Interesting reading from The Wall Street Digest

Gregg: it will all be ok!

__________________
We should all feel blessed!
wstu32 is offline   Reply With Quote
Re: Interesting reading from The Wall Street Digest
Old 01-06-2006, 07:21 PM   #10
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
REWahoo's Avatar
 
Join Date: Jun 2002
Location: Texas Hill Country
Posts: 42,087
Re: Interesting reading from The Wall Street Digest

Quote:
Originally Posted by Apocalypse . . .um . . .SOON
I like Austrian Economics more than the other kinds, but that's just my prejudice:

http://www.austrianenginomics.com/index.html
Greg, the guy is pretty specific about his predictions for the Dow in 2006:

"... I expect it to drop to around 7,000 to 8,000 during the unfavorable season (May through October), then rally up to about 11,500 at its peak in 2007...."

I didn't see anything on the site about what his predictions were a year ago for 2005. Did he make a prediction and if so, how accurate was he? (He did predict on 12-5-2005 that the Dow would end the year around 11,000, but almost anyone could have called that one.)

Not throwing rocks, just wondering about the accuracy of his track record.

__________________
Numbers is hard

When I hit 70, it hit back

Retired in 2005 at age 58, no pension
REWahoo is offline   Reply With Quote
Re: Interesting reading from The Wall Street Digest
Old 01-06-2006, 08:16 PM   #11
Thinks s/he gets paid by the post
greg's Avatar
 
Join Date: Jun 2005
Posts: 1,071
Re: Interesting reading from The Wall Street Digest

REW: I haven't paid attention to his accuracy in forcasting apocalyptic events or even the smaller ones. Just about every one of 'us boys' see things differently on how things shake out. I only offered the sight to get people to see things from a different perspective. I have read some longer articles about Austrian economics over the past few years. Most 'good' gloom and doomers don't know when it will happen, just that most of the hardcore ones think we are printing/digitiizing money at an extra-ordinary rate, more than the population is growing and then some. As I said, kinda like a Banana Republic, just taking the easy way out. Draw your own conclusions.

I do know that most all of the gloom & doomers follow Graham & Dodd in their assessment of values in the market. They don't listen to CNBC.

In other words, I don't know when either. Maybe I just see Michael Jackson. But a few others do too. The demand for money is there; and the gov't seems to want to supply all we want to make things continue the way they have in the past. In fact, they have to to cover our debts. I believe the price/value of money is currently dropping and may accelerate, if one believes in supply-demand curves.

The housing bubble hasn't helped much, just prolonged the agony for a few years.
__________________
Compounding: Never forget! Never not remember!
greg is offline   Reply With Quote
Re: Interesting reading from The Wall Street Digest
Old 01-06-2006, 08:21 PM   #12
Recycles dryer sheets
 
Join Date: Dec 2005
Posts: 186
Re: Interesting reading from The Wall Street Digest

It is always nice to debate both sides to a issue in an intelligent forum. I think we all agree that we dont know what will happen tomorrow!

have a good weekend folks...

Aloha from the islands of Hawaii !!!
__________________

__________________
We should all feel blessed!
wstu32 is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Wall Street West Non sequitur Other topics 4 10-11-2006 01:11 PM
wall street journal and contra fund mathjak107 FIRE and Money 7 04-13-2006 09:03 PM
Wall Street not interested in portfolios under 2.5 million? Dawg52 FIRE and Money 0 03-30-2006 08:38 PM
Wall Street Journalhttp://online.wsj.com/public/us Martha Other topics 3 11-08-2005 09:29 PM
Wall Street Journal-how to get it freeeeee. mickeyd Other topics 5 07-13-2004 06:36 PM

 

 
All times are GMT -6. The time now is 03:02 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.