Stock Market Crash of 2008

[TechnoViking]

I predict Monday Oct 13 to be the New Black Monday...Today was bad, tomorrow(friday oct 10) will be steady but a slight drop and then Monday, will be what we will all look back on as the start of World War 3...

You heard it here first bitcha's

Discusss

[newmom]

I hope your wrong, but I dont think your off the mark at all

[freespirit]

I hope your wrong, but I dont think your off the mark at all

I hope he's right. The monetary system is a system that doesn't work.

[pedro01]

either today or Monday will be the first up day in a number of days...

[UPINTHEMGUTS]

either today or Monday will be the first up day in a number of days...

sure as shit ain't going to be today.......

[newmom]

I'm off on Monday (I love holidays the courts are closed), I would assume the market is..I just love seeing the gas prices keep falling. Im sure as hell glad that I moved my 401k's to my Roth years ago. After what my grandpa told me about the depression him and grandma lived through even though they were 6 and 10 at the time, scared me enough

[ManBearPig...]

I hope he's right. The monetary system is a system that doesn't work.

it's all we've got.  we don't want to be the rest of the world, so we make numbers up on paper to make us feel better.

[Camel Jockey]

I hope he's right. The monetary system is a system that doesn't work.

Why don't you propose a system that does? 

it's all we've got.  we don't want to be the rest of the world, so we make numbers up on paper to make us feel better.

Rest of the world uses the same policies, dumbass. 

[The Coach]

Good to know that bailout helped. Lets involve the Government in some more shit!!

[tbombz]

Good to know that bailout helped. Lets involve the Government in some more shit!!

you make connections that shouldnt be made. the reason the bailout was needed in the first place was because government was NOT involved in 'shit'.  the fact that the governments attempt to reverse the problems that stemmed formt he government not attempting to do anythign to begin with does not mean that the government should act preventatively in the future. in fact it measn the opposite.

[ManBearPig...]

Why don't you propose a system that does? 

Rest of the world uses the same policies, dumbass. 

no, only the developed world.  what's with the "dumbass"?  and how does me saying "it's all we've got" draw you to the following conclusion:

"ha ha, this "power rod" says "that's all we've got , makes us feel better about ourselves".  wow, does he not know that the rest of the world uses it too?  ha ha, if the rest of the world uses it, it totally negates what he said.  ha ha, he's so stupid"

what gives?  are you saying that a system of creating money by leveraging hard cash deposits as many times as 40 to 1 and claiming mortgages as assets on the balance sheet instead of liabilities is the ideal way of life for these financial institutions, "Camel Jockey"?

[ManBearPig...]

you make connections that shouldnt be made. the reason the bailout was needed in the first place was because government was NOT involved in 'shit'.  the fact that the governments attempt to reverse the problems that stemmed formt he government not attempting to do anythign to begin with does not mean that the government should act preventatively in the future. in fact it measn the opposite.

i don't know what the fuck you just said, you little brainiac.  do you actually think this bailout was "needed"?   
but then again, your idea of "income" is stealing out of your dad's wallet for coke money.

[Camel Jockey]

no, only the developed world.  what's with the "dumbass"?  and how does me saying "it's all we've got" draw you to the following conclusion:

"ha ha, this "power rod" says "that's all we've got , makes us feel better about ourselves".  wow, does he not know that the rest of the world uses it too?  ha ha, if the rest of the world uses it, it totally negates what he said.  ha ha, he's so stupid"

what gives?  are you saying that a system of creating money by leveraging hard cash deposits as many times as 40 to 1 and claiming mortgages as assets on the balance sheet instead of liabilities is the ideal way of life for these financial institutions, "Camel Jockey"?

Sorry about that. Freespirit is a dutch commie.

Mortgages at one time were some of the most secure long term assets until these banks started loaning out without checking credit, income, employment. They were always secure because the bank could just foreclose and then sell off the home to recover their money, but since the value of homes went down the shitter, along with just too many foreclosures, that option to recover money went down the drain too.

Fact is that the mortgage crisis has nothing to do with monetary policy. The US monetary system has actually caused very stable growth of 3% since WWII. Tell me another country that has ever been able to control their money supply as well as the US. The US concept of increasing and decreasing the money supply through buying and selling treasury securities/bonds is probably the best way to control money. Most countries just printed their money causing mass inflation, USSR being one example.

[ManBearPig...]

Sorry about that. Freespirit is a dutch commie.

Mortgages at one time were some of the most secure long term assets until these banks started loaning out without checking credit, income, employment. They were always secure because the bank could just foreclose and then sell off the home to recover their money, but since the value of homes went down the shitter, along with just too many foreclosures, that option to recover money went down the drain too.

Fact is that the mortgage crisis has nothing to do with monetary policy. The US monetary system has actually caused very stable growth of 3% since WWII. Tell me another country that has ever been able to control their money supply as well as the US. The US concept of increasing and decreasing the money supply through buying and selling treasury securities/bonds is probably the best way to control money. Most countries just printed their money causing mass inflation, USSR being one example.

I agree, i'm just trying to figure out why this credit freeze and intrabank lending even occured.  It has absolutely nothing to do with the mortgage crisis, i'll give you that, so what gives?  Last i heard, the default rate was at 5% for subprime mortgages, not even all mortgages, so the rest of us , the other 95% can't cover this?  Strong US companies like IBM and GE are reporting profits, yet their stocks are tanking.  I don't know, i'm just hoping that it's hedge funds panic selling to cover their margin calls.  I'm hoping for a day in green on Monday. 
I just think there should be zero government interference right now.  They're obviously not helping, yet milking the money out of the Treasury.  Unless that was the plan all along.

[Camel Jockey]

I agree, i'm just trying to figure out why this credit freeze and intrabank lending even occured.  It has absolutely nothing to do with the mortgage crisis, i'll give you that, so what gives?  Last i heard, the default rate was at 5% for subprime mortgages, not even all mortgages, so the rest of us , the other 95% can't cover this?  Strong US companies like IBM and GE are reporting profits, yet their stocks are tanking.  I don't know, i'm just hoping that it's hedge funds panic selling to cover their margin calls.  I'm hoping for a day in green on Monday. 
I just think there should be zero government interference right now.  They're obviously not helping, yet milking the money out of the Treasury.  Unless that was the plan all along.

Poor confidence and mass panic I guess. You look at the markets you see plunges, follow by gains, followed the plunges. Gains are probably guys seeing good and undervalued stocks and buying them up, and downers are people selling off in large amounts causing panic. Poor confidence is causing bank failures and shares to drop. Most of the banks have already had their write offs, so they are licking their wounds and not willing to lend, but otherwise fine for commercial banking. Government caused even more panic amongst the public and forced the 700 billion bailout onto us. Probably months before that even comes into play. Have you think it's the end of the world, but life as usual is going on for most people.

The hedge funds live on speculation and always have so that can't be it, or can it? Maybe combo of public fear and that.

[stormshadow]

I agree, i'm just trying to figure out why this credit freeze and intrabank lending even occured.  It has absolutely nothing to do with the mortgage crisis, i'll give you that, so what gives?  Last i heard, the default rate was at 5% for subprime mortgages, not even all mortgages, so the rest of us , the other 95% can't cover this?  Strong US companies like IBM and GE are reporting profits, yet their stocks are tanking.  I don't know, i'm just hoping that it's hedge funds panic selling to cover their margin calls.  I'm hoping for a day in green on Monday. 
I just think there should be zero government interference right now.  They're obviously not helping, yet milking the money out of the Treasury.  Unless that was the plan all along.

You are starting to ask some good questions.  Keep asking and keep digging.  Once you understand the fundamental details of the world banking system, you see how it is nothing but modern day slavery.

Start with reading HJR 192 passed in 1933.  You will start to find some answers there.

[pedro01]

sure as shit ain't going to be today.......

No - but it came very close to being an up day.



Total down on the day was less than 120 points. Nuffink.

[The Coach]

you make connections that shouldnt be made. the reason the bailout was needed in the first place was because government was NOT involved in 'shit'.  the fact that the governments attempt to reverse the problems that stemmed formt he government not attempting to do anythign to begin with does not mean that the government should act preventatively in the future. in fact it measn the opposite.

The markets were starting to bounce back a little before the "bailout' was passed, as soon as it was passed the markets took a shit even more. Fannie/Freddie and AIG are private entities, they fucked up. They should have claimed bankruptcy like anyother private corporation.

[jr]

No - but it came very close to being an up day.



Total down on the day was less than 120 points. Nuffink.

Look at the high and low. The market was manipulated on Friday. It dropped 7% on opening then magically "recovered" then resumed its 7% drop over the course of the day before it magically "recovered" again. Then it resumed dropping.

The Government Plunge Protection Team at work.

http://en.wikipedia.org/wiki/Plunge_Protection_Team

[Bindare_Dundat]

Look at the high and low. The market was manipulated on Friday. It dropped 7% on opening then magically "recovered" then resumed its 7% drop over the course of the day before it magically "recovered" again. Then it resumed dropping.

The Government Plunge Protection Team at work.

http://en.wikipedia.org/wiki/Plunge_Protection_Team

Ding ding. Give the man a prize.

[freespirit]

Why don't you propose a system that does? 

There's no need for sarcasm. You need to educate yourself on the subject.

[Decker]

Sorry about that. Freespirit is a dutch commie.

Mortgages at one time were some of the most secure long term assets until these banks started loaning out without checking credit, income, employment. They were always secure because the bank could just foreclose and then sell off the home to recover their money, but since the value of homes went down the shitter, along with just too many foreclosures, that option to recover money went down the drain too.

Fact is that the mortgage crisis has nothing to do with monetary policy. The US monetary system has actually caused very stable growth of 3% since WWII. Tell me another country that has ever been able to control their money supply as well as the US. The US concept of increasing and decreasing the money supply through buying and selling treasury securities/bonds is probably the best way to control money. Most countries just printed their money causing mass inflation, USSR being one example.

This is a good post b/c it's accurate. 

[Decker]

The markets were starting to bounce back a little before the "bailout' was passed, as soon as it was passed the markets took a shit even more. Fannie/Freddie and AIG are private entities, they fucked up. They should have claimed bankruptcy like anyother private corporation.

Do you really believe that unmoderated markets take care of themselves?

Freddie and Fannie are not strictly private companies b/c of their gov. association.

[Camel Jockey]

Do you really believe that unmoderated markets take care of themselves?

Freddie and Fannie are not strictly private companies b/c of their gov. association.

This is true.. Hell, the reason they even bought up so many mortgages was to encourage commercial banks to keep on lending. Why would a bank care if they knew Freddie and Fannie would be there to take the stuff off of their books?

[pedro01]

Look at the high and low. The market was manipulated on Friday. It dropped 7% on opening then magically "recovered" then resumed its 7% drop over the course of the day before it magically "recovered" again. Then it resumed dropping.

The Government Plunge Protection Team at work.

http://en.wikipedia.org/wiki/Plunge_Protection_Team

Great conspiracy theory.

Bottom line is the market went down enough that buyers started to jump in which is why it ended up pretty much back where it started. It's called capitulation.

Nothing more, nothing less.  This happens all the time.

No market goes down in a straight line. The moment you see a retracement as a conspiracy as opposed to a natural event is the moment you know you have spent too many hours listening to Michael Moore.