Discussion in 'Off-Topic' started by Torx, Aug 4, 2011.
I probably lost 5+ grand, I'm not even looking.
EDIT: Not as bad as I thought actually: -$2,473.52
A sign of things to come? I think it's just the reality after all the smoke and mirrors. The ponzi scheme may simply have run it's course.
I hope it goes lower so I can pick up some good stock cheap.
Im sure glad the republicans are in charge now, they know how to run an economy! /s
You guys should have buried your money in your yard like me.
You say that like you weren't expecting anybody else to have done that.
I went diggin' just for fun the other day and hit a coffee can with 13 bucks in it. I know I buried the big bills somewhere around here...
There's no shortage of ways to make money if you believe the market is about to bite the dust.
Alternately if you are just looking to hedge your portfolio right now against market movement as opposed to having to flatten all your positions (and thus paying a bunch of fees), this is not a bad option.
"Corrections" such as these, aren't they to be expected when we operate under one huge assed pyramid scheme? Seems to me people would start to invest locally, help their local communities and regions. This "global economy" thing is fine in theory, so was communism. But in actuality........here we are.
Now we're getting somewhere!
Losses July 28th-today. And I don't think we're at the bottom yet.
I think if intel drops to $18.50 I'm in! and if microsoft drops to $23.50 I'm might pick that up. If Johnson and Johnson hit $59/60 I think that would be a good deal too if I had the money.
Yeah, that's kinda how I look at these events too - picking up cheap stocks! But then again I'm not planning on retiring ever, and at the earliest another 20 years. If I was closer to retirement I'd be shitting my pants.
Another -635 today.
Are people really surprised by this? We are in so many words insolvent. People are starting to wake up and realize that the Federal Reserve's stimulus and QE rounds are just pumping up an already overinflated bubble.
On EDIT: I just read this from Dave Ramsey.
I don't know much about Dave Ramsey, but that is a beautiful real world analogy.
Welp, thank God I only have ~$7,000 invested as of now... I quite honestly never put a lot of faith in my 401k. I have it through the Thrift Savings Plan, which is fairly safe. But, I have still lost quite a bit of money. It was worth a shot. No matter what, the bubble had to burst someday. You can only get "free" money for so long before someone needs to pay it back.
Yeah that does sound crazy until you realize that the $366,000 is actually the balance on their mortgage and the extra $42k is for two car payments. What he also forgot to tell you is that before all this happened, the couple had two steady jobs making $90k a year.
If we continue using that analogy we can see the the couple is facing a real dilemma, short on revenue, high medical costs and credit card and mortgage payments that must be paid. Since they are pretty much living off of their credit cards how smart do you think it would be if they said, "Hey! we are spending way beyond our means. We are not going to pay these bills until the wife gets another job, we reduce our spending, and we get rid of our cars!".
Doesn't sound too smart to me to default on the one thing that's propping you up. (can we say debt ceiling debacle?)
So the couple, wanting to be smart about the situation (lets leave out the fact that their short sightedness is what got them into this mess in the first place), decides to pay their bills and make the minimum payments, after all, the interest on their debt is quite low and a default would instantly raise those rates.
But what is the couple to do? How do they get out of this mess? They have two cars that don't get very good gas mileage but they need them to commute and to look/go to job interviews. Would the responsible person get rid of the cars? They could sell them but they would still owe a substantial amount of money on them. I'd say only a fool would get rid of their car if it was the one thing that allowed you to get to your job, which is currently the only thing you have that helps pay the bills.
Obviously there could be some cuts made to their budget that wont have a negative impact, maybe they could cancel their alarm service, after all they live in a pretty good neighborhood and crime is virtually non existent.
The answer is clear:
They need to continue paying their bills, reduce any unnecessary spending (going out to fast food all the time), and more importantly the wife needs to get a job.
And just in case I have to spell it out for you:
Paying their bills = raising the debt ceiling
Keeping the husbands car = keeping current entitlement programs active
Keeping the wifes car = investing in projects that will drive future growth (infrastructure updates/improvements, alternative energy investments, education, etc)
Cancelling their alarm service = reduce military budget (ending the wars and unnecessary programs like fighter jets the military doesn't want/need or getting rid of things like back up engines)
Reduce unnecessary spending = closing tax loopholes and raising taxes on the upper rich
Finding a job for the wife = job growth/creation
So yeah, it's the perfect analogy, I just wish he would have told the whole story.
The difference between the US debt and household debt is the household debt is backed by assets. The US debt is not. It's not backed by anything but empty promises. What can we do? The answer is pretty simple. Shrink the federal government and cut back drastically on spending. i.e. get out "foreign conflicts", and the end the nebulous war on terror. It's ridiculous.
Doing either or both right now would make things worse.
end the war on terror?
how about the war on drugs? thats just as bad.
of course mexico and s. america will escalate and possibly pour into the us worse.. but some spending in that has to be cut.
This is bullshit. Exactly how would it be worse? You have to be empirical. Show me one measurable success from the war on terror or our actions in the middle east that justifies the trillions that have been spent.
I don't disagree with this either. There are tons of places we can make cuts and not sacrifice security or safety.
The biggest piece of the pie by far is the Pentagon. It's the logical place to start.
Sorry jok3r, some how I overlooked the part that said you were specifically talking about the wars and military spending. If you look at my other response you will see that I specifically mention ending the wars and military budget cuts.
Defense spending should be reserved for protecting the homeland not "fighting terror".
Millions of families are regrouping and figuring out what the barest of essentials are so that they can survive and pay down debts. I happen to be one of those. i saw the writing on the wall in 2007 and began way back then. The wife and I are surviving, paying our bills eating well. Gone is everything that doesn't pertain to survival. No new vehicles every 2-3 years, no going out for dinner, no movies at the theater, no unecessary travel, none of that kind of stuff. Together we may bring in 13-14 grand a year. As the credit cards and interest bearing debts get paid off, it's that much less going out for absolutely nothing and there's more for essentials. I actually have more money in my pockets than when I was bringing home 60+ grand a year. My truck is bought and paid for and the car is almost paid off.
Anyone want to claim that the US government didn't see the same writing on the wall? Why can't the federal guys tighten their belts the ways that their constituents have to?
It can be done.