A House of Cards

[Marc]

Panic selling only hurts you in the short, medium, and long term.

Not only hurts the seller, but in mass, hurts everyone.

 

[BeanoNYC]

When our exports started being more financial and service related products than actual goods.

 

[deadheadskier]

Bailout or no, consumer spending is about to nearly cease. The bailout is to at least maintain some vestige of a financial market, which is critical to any recovery going forward.

Some serious pain for everyone is on its way. But, things will adjust, and we'll all get better. My advice to everyone- sit tight, be smart, keep cash available, and wait. Panic selling only hurts you in the short, medium, and long term.

You think it will get that bad eh? So, the fact that I'm bargain hunting in the market is probably not a good idea.

 

[RootDKJ]

Not true. You haven't lost it unless you sold it. Which would have been a pretty dumb thing to do.

Excellent clarification! I should say it decreased in overall value by 8%. I haven't sold anything. In fact, I'm looking to buy more and I'm open to suggestions.

 

[Marc]

Excellent clarification! I should say it decreased in overall value by 8%. I haven't sold anything. In fact, I'm looking to buy more and I'm open to suggestions.

I'm a pretty passive manager, I typically just buy market tracking ETF's, rarely I'll take a bet of a sector, but mostly just a mix of domestic and overseas indices for me.

 

[ctenidae]

You think it will get that bad eh? So, the fact that I'm bargain hunting in the market is probably not a good idea.

I hear some people predicting the Dow down to 5K, that kind of thing. I'm not that doom and gloomy, but I think there's more to go before the buying opportunities really come about.

I am a bit concerned about the next couple of days, though.

 

[RootDKJ]

I'm a pretty passive manager, I typically just buy market tracking ETF's, rarely I'll take a bet of a sector, but mostly just a mix of domestic and overseas indices for me.

I'm a little more aggressive. Lots of international mutual funds. I don't have many index trackers. I'm also way overloaded on my company's stock.

 

[andyzee]

When our exports started being more financial and service related products than actual goods.

Amen, we are far too service oriented.

 

[deadheadskier]

I hear some people predicting the Dow down to 5K, that kind of thing. I'm not that doom and gloomy, but I think there's more to go before the buying opportunities really come about.

I am a bit concerned about the next couple of days, though.

could be

call me crazy, but I do think there's money to be made in the most at risk sector (banks) with certain banks that are a bit stronger. Citi is up 12.5% for the day and JP Morgan Chase 10%. It's always a risk, but if you're able to monitor things closely and can get in and out quickly, you can make money. I personally don't have the sack or enough resources available to me right now to play that game, but I think it's there.

 

[ComeBackMudPuddles]

Because this has the potential, I'm going to preemptively throw this out there.... Please try to keep politics out of the discussion so that we don't have to lock it...

Thanks in advance.

Not trying to get political, but I will say that there's no way to talk about this situation and/or to seek answers moving forward without getting political. There's a clash of ideologies going on, and only talking about the markets tanking/the need for a rescue in a reactive way does not address the root cause(s).

 

[cbcbd]

could be

call me crazy, but I do think there's money to be made in the most at risk sector (banks) with certain banks that are a bit stronger. Citi is up 12.5% for the day and JP Morgan Chase 10%. It's always a risk, but if you're able to monitor things closely and can get in and out quickly, you can make money. I personally don't have the sack or enough resources available to me right now to play that game, but I think it's there.

Very true... I wish I could know too beforehand who was going to bust and who was going to go on a bank shopping spree. But as it goes - higher gains comes with higher risk.

I'm holding on for a little longer and then planning on investing on some more moderate risk funds and stocks that saw a downturn (I'm sure I'll find something, sigh). The only thing to try to figure out is how low will things go and when the lows are at the best... honestly, I think anyone with the money should invest in something right now - if they are looking at the long term.

I honestly haven't even looked at my 401K or portfolio - I know it's not going to be good right now and have no intent of selling any of it anytime in the next 30+ years...

 

[ComeBackMudPuddles]

Businessweek has a little expose on the 20 towns that will be hit hardest by the financial crisis....Interesting mix.

 

[tjf67]

Unless there is some sort of assistance this credit crisis is going to create problems that most people can not even imagine yet. It a horrible spot that we are in. To sit and do nothing is the wrong answer.
You thought yesterday was bad. It was a game of chicken with the gov against wallstreet. If somethig does not pass the true problems are really going to arise. Me you and everyone you know are going to be pinched.

In theory I detest the bailout. Every living true blooded american does But there really is not much of an alternative. Your parents that live off there invenstments and anyone nearing retirement will suffer a set back that will take generations to recover from.

ALL these special interest groups flooded the phone of these phony politicions and they said they voted no because of that. Well Mr and Mrs middle income America is what runs the show and they dont want to see all there saving/invesmtnes going down the drain to cater to special interests.

 

[Moe Ghoul]

This all so depressing ..I think I will go out and buy something on credit that should make me happy ... snowboarding gear or trip .. yeah ...

<--------- Better put that 2 1/2 year old avatar to work now. 11.3 trillion dollar national debt and 500 billion/yr deficits sure adds up fast. It took us 200 years to hit 1 trillion in debt.

 

[bvibert]

Not trying to get political, but I will say that there's no way to talk about this situation and/or to seek answers moving forward without getting political. There's a clash of ideologies going on, and only talking about the markets tanking/the need for a rescue in a reactive way does not address the root cause(s).

I realize that, which is why I posted the warning. No politics is one of the few rules that we actively, and sometimes even pro-actively, strictly enforce.

IMHO, as long as we can keep the discussion civil and keep partisan mudslinging out of it I'll be OK with it. I'm only speaking for myself though, I don't know how Greg and the other mods will feel about it.

I don't have much hope that this thread will last too long before the name calling and mud slinging starts, but hopefully you guys prove me wrong.

 

[Beetlenut]

I'd be curious to know, or find out if anyone is looking into, how many employees of Lehman Bros, AIG, etc... sold off their shares before the bottom fell out?

 

[deadheadskier]

I'd be curious to know, or find out if anyone is looking into, how many employees of Lehman Bros, AIG, etc... sold off their shares before the bottom fell out?

Greenberg dumped 40 million shares of AIG on 9/25.....but that was after the 85billion bail out

 

[deadheadskier]

I realize that, which is why I posted the warning. No politics is one of the few rules that we actively, and sometimes even pro-actively, strictly enforce.

IMHO, as long as we can keep the discussion civil and keep partisan mudslinging out of it I'll be OK with it. I'm only speaking for myself though, I don't know how Greg and the other mods will feel about it.

I don't have much hope that this thread will last too long before the name calling and mud slinging starts, but hopefully you guys prove me wrong.

you're an A hole

 

[wa-loaf]

 

[wa-loaf]

It was a bad deal, glad it fell apart. Hope this gives them a chance to come up with something better.