Title says it all. Story's a little too long to copy/paste, so I'll just go with the link.
http://www.msnbc.msn.com/id/26884523/
Thoughts?
http://www.msnbc.msn.com/id/26884523/
Thoughts?
Bailout fails house vote
- Thread starter Lee
- Start date
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sakeido
Contributor
My thoughts? Quick! Short a NYSE stock index for as much as you can afford!!!
I'm pulling out my stocks as we speak. I knew it wasn't going to get better anytime soon, but I'm not going to sit and watch them get a whole lot worse.
Mine are in diversified funds, but I'm not taking any chances. Enough is enough. That, and I'm going to change banks. Wachovia got bought out today.
Drew
Forum MVP
If you're doing it now, you're too late, and all you're doing is locking in a temporary low.
We're due for a market upswing following this drop, and then a few days' stability while the market reassesses. If you want to get out now, your best bet is to wait for that period of stability and at least recoup some of your loss.
Right now the market's in panic mode and everyone's selling. You either need to get out before (hard), or resist the temptation and let the market settle down and then pull back. Selling out in the middle of a fall makes just as little sense as buying in during the middle of a boom, yet if you trust your emotions they'll tell you to buy high and sell low every time.
I think the market's going to continue to fall too, FWIW. I just think the time to sell was a week ago, after the recovery from the last crash (which, FWIW, is when I transferred 60% of my equity holdings into a money market account, to shield against further falls).
We're due for a market upswing following this drop, and then a few days' stability while the market reassesses. If you want to get out now, your best bet is to wait for that period of stability and at least recoup some of your loss.
Right now the market's in panic mode and everyone's selling. You either need to get out before (hard), or resist the temptation and let the market settle down and then pull back. Selling out in the middle of a fall makes just as little sense as buying in during the middle of a boom, yet if you trust your emotions they'll tell you to buy high and sell low every time.
I think the market's going to continue to fall too, FWIW. I just think the time to sell was a week ago, after the recovery from the last crash (which, FWIW, is when I transferred 60% of my equity holdings into a money market account, to shield against further falls).
jaxadam
Well-Known Member
I've watched most of my portfolios do nothing but drop here over the past few days. I did notice a pretty decent rebound in a few of them about a week or two ago.
I haven't done anything about it yet, and I think I'm going to be screwed. I really lost my ass in a few places about 10 years ago trying to do what I think is the sensible thing with the market.
I haven't done anything about it yet, and I think I'm going to be screwed. I really lost my ass in a few places about 10 years ago trying to do what I think is the sensible thing with the market.
Deconstruct
Active Member
My entire college fund is in the stock market.
It's okay, my tuition rate will be locked in for all four years at the price it is right now.
Oh, nevermind. Making college affordable is apparently superfluous to Mr. Perdue. Wonderful.
I'ma gunna be a smart man wen I grows up.
It's okay, my tuition rate will be locked in for all four years at the price it is right now.
Oh, nevermind. Making college affordable is apparently superfluous to Mr. Perdue. Wonderful.
I'ma gunna be a smart man wen I grows up.
Stealthdjentstic
Banned
Hey everythings on sale!!!
Well it appears that representatives were actually listening to their people this time. Many people, myself included, have called/faxed/emailed their reps and senators asking them to vote against any bailout. Im hoping those that voted yes will be voted out of office if their constituents told them to vote against. Im against any bailout of wall street and would hate to see us become socialist.
Back in Feb of 2007 there were several blogs forecasting doom in the housing market.
http://articles.moneycentral.msn.co...icles/TheHousingATMRotIsJustTheBeginning.aspx
That was the first of many that I have read, and there were many more articles, blogs, etc for the past couple years announcing that there was a shitstorm brewing. For the past year and a half I decided to move out of stocks and buy mostly put options and I thank God that I did.
I do believe it will get worse.
Back in Feb of 2007 there were several blogs forecasting doom in the housing market.
http://articles.moneycentral.msn.co...icles/TheHousingATMRotIsJustTheBeginning.aspx
That was the first of many that I have read, and there were many more articles, blogs, etc for the past couple years announcing that there was a shitstorm brewing. For the past year and a half I decided to move out of stocks and buy mostly put options and I thank God that I did.
I do believe it will get worse.
I just put all of my spare cash IN 
Disclaimer: BigM555 is a Canuck with no US voting rights.
Have you read the Bill?
While I agree that most constituents seem to be against a "bail out of wall street" the actual text of the bill seems pretty reasonable and short term. It provides restrictions on "golden parachute" deals for financial officers and includes other checks and balances necessary for oversight.
While it is always prudent to be cautious, paranoia can be damaging. Today's economy runs on credit and without it things will get really tough for the average Joe and small business owner. What are the alternatives? Doing nothing is apt to lead to the demise of many a common man (and yes, woman).
Do you have specific objections to the legislation?
The failure of it's passing yesterday seems to have more to do with politicizing than what is truly in the best interest of the country. The GOP already sees their party trailing in the polls and thus don't want to vote for it for fear that they risk re-election.
It's extraordinarily unfortunate that this crisis is occurring so close to the election.
Drew
Forum MVP
BigM is right. It's FAR from perfect, but it failed not because it wouldn't have stabilized the marketplace, but because 70% of Americans saw it as rewarded the managers who put us into this position, and not saving their asses.
True, a lot of this has to do with the way the bill was presented, and Paulson should have thrown a little more support to homeowners to build more bipartisan support. However, it failed because too many Republicans (and, to be fair, something like 40% of Democrats) didn't want to vote for an upopular-if-effective bill 5 weeks before a close election.
Drew
Forum MVP
The S&P 500 is up 3.33%. Told you to wait, almost without historical fail whenever the market dives like this, the next day is a rebound. As mutual funds typically trade after the close of business for the marketplace, once a daily NAV is struck, all you did was lock in yesterday's loss without any of today's recovery.
Selling in the middle of a one-day panic is almost always a bad idea.
The Trooper
Disposable Hero
BigM555 is on the mark here. People seem to have this "us vs. them" mentality of Main Street and Wall Street and and a lot of people have expressed opposing simply because they didn't feel their money should be used to "bail out Wall Street."
Well, what do you want and what do you hope to accomplish by sitting idle and doing nothing? You're not bailing out Wall Street for the fun of it, you're breaking the strain on banks, giving the market a jump start so that loans actually become feasible, etc.
You can let the financial institutions fail, small businesses go under because they can't get credit (which equates to job loss), the mortgage crisis continue to hack away at our foundation, virtually all credit end up drying up as more banks go under, and watch a total economic collapse as we go into a recession...or you can suck it up and jump start the economy with tax payer dollars.
If nothing comes to pass and the economy completely tanks...when all of these people who opposed a bailout start losing their jobs, houses, can't get student loans, watch their retirement funds disappear, etc...I hope they realize that it may have started with Wall Street, but they're going to have to shoulder some blame themselves because they became a part of the problem they complained about.
Well, what do you want and what do you hope to accomplish by sitting idle and doing nothing? You're not bailing out Wall Street for the fun of it, you're breaking the strain on banks, giving the market a jump start so that loans actually become feasible, etc.
You can let the financial institutions fail, small businesses go under because they can't get credit (which equates to job loss), the mortgage crisis continue to hack away at our foundation, virtually all credit end up drying up as more banks go under, and watch a total economic collapse as we go into a recession...or you can suck it up and jump start the economy with tax payer dollars.
If nothing comes to pass and the economy completely tanks...when all of these people who opposed a bailout start losing their jobs, houses, can't get student loans, watch their retirement funds disappear, etc...I hope they realize that it may have started with Wall Street, but they're going to have to shoulder some blame themselves because they became a part of the problem they complained about.
Drew
Forum MVP
Agreed, Trooper. A lot of people don't realize what a total meltdown (or even a continuing partial meltdown/smoke hissing out of the engine compartment) will do to the everyday American economy.
I mean, it's not like Wall Street is this disconnected world that exists in a vacuum...
I mean, it's not like Wall Street is this disconnected world that exists in a vacuum...
i have a crazy idea, how about giving the 700 billion BACK TO THE TAX PAYERS!!
obviously they are ready to just throw it around, that could really help the economy, and even if it didnt, it would give the average joe a coushin. say theres 300 million americans, i dont know what the math is, but if every tax payer got an equal cut of that, it would drastically help
i'm all for fixing the problem, but i sure as hell dont think they should get a dime, hell, pass the bill, but make them basically sign a contract to pay us back
obviously they are ready to just throw it around, that could really help the economy, and even if it didnt, it would give the average joe a coushin. say theres 300 million americans, i dont know what the math is, but if every tax payer got an equal cut of that, it would drastically help
i'm all for fixing the problem, but i sure as hell dont think they should get a dime, hell, pass the bill, but make them basically sign a contract to pay us back
hairychris
Hairy Old Bloke
well fuck, its our money and they are just ready to throw it down the drain.
maybe we should all go rack up as much credit card debt as we can and expect someone else to pay for it
maybe we should all go rack up as much credit card debt as we can and expect someone else to pay for it
JJ Rodriguez
Contributor
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Because that's socialism....
What is this big American fear of socialism? I noticed it in another thread where they were talking about the bailout. The topic also comes up when speaking about free health care. Canada has free health care, and you don't see us in a cold war with you guys.
