The Dow Jones Industrial Average fell 1,000 points on Monday amid a huge decline in Chinese stocks and a global sell-off. The drop was the Dow's biggest since 2008 and even though the index recovered some of the losses, the Dow was still down over 400 points as of late morning.The Standard & Poor's 500 index also fell into “correction territory,†meaning that it's down 10% from a recent peak.The global sell-off was triggered by growing concern over a slowdown in China and the Federal Reserve's non-stop creation of money called “quantitative easing†which devalues the dollar. It's almost here. If you don't want to believe it your deluding yourself http://www.latimes.com/business/la-fi-global-marke... Everyone has been saying this would come and now it's only a matter of time.
This exactly...to an extent. I've got some that I wish I had bought more of when the market crashed in '87 -the dividend producers continued producing dividends. You look at some like XOM that is under $70 a share today for the first time in forever and it is STILL paying close to $3 per share annually. The ones you don't want to be in right now would be the oilfield service stocks and those that are cyclical in nature. For those more inclined to take some level of risk...options can be a fun thing right about now. Or ulcer-inducing... Funny thing about dropping a thousand points is that I can remember when it was a big deal that the Dow finally went OVER a thousand and stayed there...
If you wanted to donate your money to the largest most corrupt banking institutions you could probably just get their address off their website and mail them a check directly. You wouldn't be able to see the bottom of this correction with a set of binoculars at this level. I give Yellen credit though because at least she had the brains to know there is an equity bubble, hence why she hasn't raised rates yet. She should though, end this shit show. Get your Precious metals now while you can.
Yup it's been a shitty day for investors. I "lost" 1,500 today, from a 15,000 investment(s) This could not have come as a surprise to anyone. The second largest economy turned out to be overvalued? What a big fucken surprise. This is dot com all over again
It's what happens when markets are artificially driven to unrealistic levels by unrealistic means (purchasing securities with "money for nothing" such as QE1, QE2, QE3, etc) so everything looks more wonderful than it actually is. Now the Fed has painted itself into a corner, having to keep interest rates near zero in order to keep the Fed-inflated markets from "correcting". Maybe the Federal Reserve should go back to protecting us from bank runs and retired as primary tinkerer of the nation's economy.
This is just a normal market correction. It's been nearly straight up for four years; a correction is long over-due. And I see the OP refers to the Dow drop in index points and the S & P in percentage points. Like television reporters, they know not what they do. Index points don't tell you anything unless you do the math. The percent that an index changes is the only accurate way to illustrate how much the market moves.
I dont think you can call this a normal market correction because the situation the federal reserve is in is not normal. I think there is more emphasis than ever on the federal reserve and the role it will play going forward and I think the markets are starting to really emphasize this as well.
^ We'll see who's right in a month or two. I will probably buy more equities within the next week or so.
Bank of Japans interest rate has been low for 20 years, so apparently you can run an economy on 0% for an extended time? There has to be a casualty and its ultimately going to be the USDollar if rates dont rise and there is more QE. You might see a return on your money so who knows? Crazy market is crazy.
I just heard my stupid local TV guy say that " . . . today was the biggest point gain ever for the Dow." Meaningless. What was the percentage gain? Was THAT a record or not?
I didn't lose anything because I didn't panic and sell. It'll come back over the next few months, a year tops.