How low will it go? Stock market taking a dip

Discussion in 'The Okie Corral' started by RWBlue, Feb 24, 2020.

  1. HJB

    HJB Banned

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    If you are sitting on some cash looking for a home, might want to start thinking about a buying opportunity.
     
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  2. varget

    varget

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    if bernie gets the nomination look out below. if he wins the election in Nov. that is the end of the market for at least 15 years. just sayin'.
     
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  3. F106 Fan

    F106 Fan

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    What people should worry about is the overall trend toward recession in the EU coupled with losing financial help from the UK and the fact that there isn't going to be a trade agreement. Macron is on thin ice, Merkel is retiring next year or sooner, Italy is unhappy about migration and their economic growth is abysmal. The EU wants to pull in two more net recipients with no funds to provide them and we have the issue of NATO versus the proposed European Army (without the UK). Seems the EU can afford their own military but they can't make their contributions to NATO.

    Europe is a train wreck and nobody's watching. They're a pretty big market for the US - even if the EU enjoys a $39 billion dollar trade surplus.
     
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  4. F106 Fan

    F106 Fan

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    Especially if they can qualify for a VA loan. It's easy to get a loan when the VA is guaranteeing the first big chunk of money. Around here, they cover the first $418k so you only need a down payment if the house costs more than that amount. That down payment is probably 20% of the difference between the price of the house and the VA guarantee amount which varies by locale.

    I was discharged in '67 and I'm still getting VA loans (one at a time, of course). Sweet deal! Plus they paid my way through college.
     
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  5. varget

    varget

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    another 900 points down today so the optimists can say the decline is slowing. bernie will fix it with free stuff, no worries. also, an interest rate cut is just foolish as rates are at rock bottom already. they are "negative" in that inflation is much higher than the current rate but when the banks start start charging to hold your cash it will get really interesting.
     
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  6. Z71bill

    Z71bill

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  7. HJB

    HJB Banned

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    Sorry F106 Fan, I meant sitting on some cash and looking to put it to work in some kind of investment....not literally in a "home" as in a "house in which to live"

    Didn't mean to throw you off the track, sorry.
     
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  8. TheDreadnought

    TheDreadnought

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    I don't think we are near the bottom yet. We shall see.

    But my short term bonds that I am 80% invested in right now are posting good numbers.
     
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  9. HJB

    HJB Banned

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    Well, that's what I honestly thought when Obama got elected. And lots of people would have bet that when Trump got elected. So, I'm not going to try to predict.

    Even if Bernie gets elected he wont be able to change a lot of the stuff he talks about as long at the republicans retain control of the Senate.
     
  10. Von Hayes

    Von Hayes

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    I'm startin my 401k over again......so....this all sounds good
     
  11. jim goose

    jim goose "The Goose"

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    This may be a yr we finally see an “over sold” condition. It’s been over a decade since the last one.

    No rush!
     
  12. pag23

    pag23 NRA Life Member

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    I have a 401k and don't plan to retiring for 20 years.... I will let it ride the market.. it is diverse enough to ride out the storms.

    Most of it is in a Roth...
     
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  13. F106 Fan

    F106 Fan

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    No worries!

    The housing market may get hammered as well and buying a home may be more affordable. Depending on a whole lot of things, they can be a pretty good investment. Worst case, maybe they keep the rain off your head. That's the part I watch. Is it warm? Is it dry? I don't care what color it is...
     
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  14. F106 Fan

    F106 Fan

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    Right, he can run around spouting Communism all he wants as long as the Republicans control at least one house. The problem it, it is not uncommon for all 3 to belong to one party for the first 2 years of an administration.

    The Democratic party must be going nuts over this guy!
     
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  15. rj1939

    rj1939

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    I guess blowing up the repo market wasn't enough for JP Morgan, now they want to take the stigma off of using the discount window.............isn't daily/nightly injections enough for Jamie................
    From Bloomberg:



    A senior JPMorgan Chase & Co. executive said the largest U.S. bank planned to borrow funds through the Federal Reserve’s emergency lending facility in an exercise designed to break the stigma attached to a program that can scare investors and spark political attacks.



    Jennifer Piepszak, JPM’s chief financial officer, said Tuesday the bank would borrow from the so-called discount window from time to time this year and had discussed the plan with regulators.



    “We think this is an important step for us to take to break the stigma here,” Piepszak said during the firm’s investor day in New York.
     
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  16. Beendare

    Beendare Stick and String, SME, NRA life member

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    I'm 70% in the market including a self directed IRA and I'm ticked I didn't buy puts on this thing...I got lazy.

    I'm also in high beta stuff....so a double whammy now.....but then I'm up right at where the market was for the year...so not bad. I still want to own what I have for another 3-4 years minimum in my taxable accounts...unless someone like Bernie wins...then I'm selling everything...or at least buy options on taxable stuff.

    All of my wife and my IRA is in cash....I trade those since no tax consequences. When the market was getting rich...I sell or rotate it. So I have my buy list of high Beta stuff ready to go.

    How low....well that's going to depend on whether Covid -19 takes hold. I'm going to start buying in in the next couple of days more than likely. It might hit 10% down....I don't try to catch the exact bottom. I will dollar cost avg into the market once it hits 8% down. Dow 3030 is a market inflection....I don't hold much confidence in that..... It will drop below that if the virus starts multiplying exponentially in the US.
     
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  17. catman71

    catman71 Spewer of TROOF

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    I think this bear has lots of room to run

    the virus will go on and on for some time. It will undoubtedly get worse before it gets better and nobody will know if it’s done or not. Might pop up for months or years to come

    If Bernie gets the nomination the markets will be down all year (IMO) and maybe start back up if trump wins or republicans keep the senate

    in the meantime I might refinance, but I think rates might go a bit lower yet.
     
  18. rj1939

    rj1939

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    Is it just me, or is the bond market showing signs of trouble?
     
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  19. Aurora

    Aurora

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    The actual dead cat bounce happened two weeks ago. Thursday, Friday and Monday's events were the systems responding to it.

    Computer programs are making the decisions.

    V.
     
  20. Aurora

    Aurora

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    Possible to do in many cases but not all the time. As I was trained, you can't call the exact top and bottom so it's best to try and make your money on what's in the middle.

    How high will it fly and how low will it go? That's the tough question.

    V.
     
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