Will There Be Panic In The Markets?

[Retire Soon]

Fed just made an emergeny rate cut of 3/4%!!!

[W2R]

Quote:

Originally Posted by Retire Soon Fed just made an emergeny rate cut of 3/4%!!!

Here comes the Cavalry to the rescue! I wonder if it will work.

What could be more entertaining on a dreary, gray Tuesday morning?

[al_bundy]

Ambac came out with a huge loss that's sure to put a damper into the confidence level. if ambac goes under than some obscene amount of money in bonds is uninsured

[cute fuzzy bunny]

Quote:

Originally Posted by Retire Soon Fed just made an emergeny rate cut of 3/4%!!!

That seems to have cut the futures losses in half (so far).

But dammit...I was poised to dump some appreciated treasuries this morning and that rate cut is biting into some of the treasury gains.

But uh oh, now some folks are feeling the 3/4% cut smells of desperation and still wont be effective, so the futures might head back further down again.

I agree...3/4% was too much.

[HFWR]

Daddy, daddy, there's a helicopter outside...

[Dawg52]

Quote:

Originally Posted by cute fuzzy bunny That seems to have cut the futures losses in half (so far). But dammit...I was poised to dump some appreciated treasuries this morning and that rate cut is biting into some of the treasury gains. But uh oh, now some folks are feeling the 3/4% cut smells of desperation and still wont be effective, so the futures might head back further down again. I agree...3/4% was too much.

Already has headed back down. DOW futures -466. Anyone buying stocks today?

[Retire Soon]

Quote:

Originally Posted by HFWR Daddy, daddy, there's a helicopter outside...

The helicopter appears to be out of fuel, as the Dow Futures are down 464 points. I heard that the futures market had already factord in a 1/2% rate cut before the Fed actually made its cut this morning. Guess we'll have to wait until next week for some relief.

[maddythebeagle]

Hail to the PPT! It seems more like the tail wagging the dog here...

[armor99]

Quote:

Originally Posted by mathjak107 just rember if you were in the markets for many years you would be no where near even the level we fall to on a bad day if you werent in the game. two buddies of mine are retireing from the same place after the same amount of time. they both worked for the nyc board of ed . they could elect where they wanted their pension money invested aaron not having any interest in the markets nor wanting to take any risk basically let it lay in bonds and a money market. he figured what the heck, we all earn around the same thing , we all will put in as many years , we will all end up about the same. joe chose all stock funds for over 30 years. needless to say aaron got 189,000 and joe walked away with 1.4 million. aaron is still working.

Your story is so true. It is possible to "conserve" your way, right into the poor house. While I know the my time horizon is long ~15+ years, it is still hard to watch the market tank like it is. I am already down ~10% and the first month of the year is not even over yet! At least I can feel better about the fact that other than bonds or a MM, there was no where to hide on this one, and everyone is down about the same.
I am curious though if the reason for market volotility in recent years has been due to the increase in 24 media, and internet trading. Years ago if the market was bad you had to wait 24 hrs to do something about it. And usually by that time people has regained their composure anyway. Most people got to watch the news just once a day, and unless something truly bad occurred it would blow over quickly. I wonder if anyone has done any reasearch into this correlation? Just a thought...

[Puppy Belly]

maddythebeagle beat this puppy too it but I did email a great friend that this guy is easily wagged.

I say "the puppy tail wagged the dog".

Gosh, I fear this may make losses even worse. Nothing like a Fed chairman with no plan. Guess he is not aware of Swedroes "stay the course" swagger.

EDIT:
armor99, Prof Shiller thinks the market is highly influenced by:
1. Internet
2. Gambling
3. Materialistic greed
4. Feeling that the US after WWII was the end all and be all. ie Nationalistic feeling/superiority

In other words, Irrational Exuberance

[REWahoo]

I just saw this news headline on Yahoo! : "No Country for Old Men" and "There Will Be Blood"...

Took me a second to realize they were touting potential Oscar nominations and not commenting on the upcoming market opening.

[JPatrick]

Quote:

Originally Posted by REWahoo I just saw this news headline on Yahoo! : "No Country for Old Men" and "There Will Be Blood"... Took me a second to realize they were touting potential Oscar nominations and not commenting on the upcoming market opening.

Good one REW!
And you know, it just points out that the media is in charge here.
So all you people!!! Do and believe as you are told

[Zathras]

Quote:

Originally Posted by Dawg52 Anyone buying stocks today?

I have some cash just waiting for an opportunity like this. Will have to see how some individual stocks fare. I've got my list of possibilities, bucket of popcorn and soda all set up and I am ready to watch the show

[al_bundy]

Quote:

Originally Posted by Wags Agree the US does not build anything anymore but get the popcorn ready it is going to be interesting morning and day. Could any of this be attributed to GREED? Let's hope that the U.S government does not have to bait out the people who made bad investments. GOD BLESS

who cares if we don't build anything anymore, we have more than anyone else of the most important thing in the world. Knowledge.

but to answer your question, we build a lot of things in the US. just not stuff you find at your local wal mart

i hear the same nonesense from my brother who lives to the east of the rockies. me on the east coast i see companies hiring knowledge workers all the time and they make stuff overseas.

[HFWR]

Quote:

Originally Posted by JPatrick Good one REW! And you know, it just points out that the media is in charge here. So all you people!!! Do and believe as you are told

"Your mind is totally controlled
It has been stuffed into my mold
And you will do as you are told
Until the rights to you are sold..."

FZ

[Wags]

Quote:

Originally Posted by Want2retire Here comes the Cavalry to the rescue! I wonder if it will work. What could be more entertaining on a dreary, gray Tuesday morning?

More entertaining - Old George W trying to explain how the economic stimulus package is going to rescue the good Old U.S.A from this financial crisis and a possible recession. Talk about the tail wagging the dog.

As for the cavalry they are bogged down in Iraq.

Before anybody goes into a panic take a minute and listen to Mr. MERLE HAGGARD - Are The Good Times Really Over

YouTube - MERLE HAGGARD - Are The Good Times Really Over

GOD BLESS

[JPatrick]

Hey , there's hope!
I have two sector funds showing green.
My Fido Real Estate and the Broker funds are more that 50% GREEN.
Keep that kool-aid flowing!

[Retire Soon]

"A tale told by an idiot, full of sound and fury, signifying nothing"


William Shakespeare

[roger r]

It was partly the Fed rate cuts that go us into this in the first place. This large cut is sending a strong message that things in the ecomony are out of control, when in reality it is fear based selling. They will provide some bais for self-fulfilling prophecy.

[NotSoonEnough]

Wow, 0.75%!? Sure makes it look like the FOMC is in a panic too, that is not good. Where have all the adults gone?