HuskyCaucasian Posted October 9, 2008 Share Posted October 9, 2008 DOW to 8579.19 at today's close. Might it be time to shut down the markets for a little while? Link to comment Share on other sites More sharing options...
NorthSideSox72 Posted October 9, 2008 Share Posted October 9, 2008 QUOTE (Athomeboy_2000 @ Oct 9, 2008 -> 03:26 PM) DOW to 8579.19 at today's close. Might it be time to shut down the markets for a little while? Won't accomplish anything. It is very, very, very rare to shut down the markets (any of them) for more than a few hours here or there. Halting trading on entire major markets is really meant to respond to an immediate event, to allow time for rational decisionmaking. This isn't an immediate event - this is a multi-week tumble caused by many different economic and financial factors. Shutting the markets for a day or two accomplishes nothing. It will move where its going to move when you re-open anyway. Link to comment Share on other sites More sharing options...
bmags Posted October 9, 2008 Share Posted October 9, 2008 This isn't Russia Link to comment Share on other sites More sharing options...
HuskyCaucasian Posted October 9, 2008 Author Share Posted October 9, 2008 On a positive note: Oil prices closed at $84 Link to comment Share on other sites More sharing options...
NorthSideSox72 Posted October 9, 2008 Share Posted October 9, 2008 QUOTE (Athomeboy_2000 @ Oct 9, 2008 -> 03:32 PM) On a positive note: Oil prices closed at $84 Decreased demand. That's not a good sign in this case. Link to comment Share on other sites More sharing options...
bmags Posted October 9, 2008 Share Posted October 9, 2008 I haven't driven my car in 4 weeks. BUT WINTER IS COMING Link to comment Share on other sites More sharing options...
Steve9347 Posted October 9, 2008 Share Posted October 9, 2008 You can't shut down the markets for an extended period. Link to comment Share on other sites More sharing options...
HuskyCaucasian Posted October 9, 2008 Author Share Posted October 9, 2008 QUOTE (Steve9347 @ Oct 9, 2008 -> 03:34 PM) You can't shut down the markets for an extended period. there's a reason I called it drastic. The real point of this thread, not made clear by my (my fault), is to talk about solutions. Link to comment Share on other sites More sharing options...
Steve9347 Posted October 9, 2008 Share Posted October 9, 2008 QUOTE (Athomeboy_2000 @ Oct 9, 2008 -> 03:36 PM) there's a reason I called it drastic. The real point of this thread, not made clear by my (my fault), is to talk about solutions. The trusted appointed people in the government know better than I. Thankfully, my company sells a product that helps companies in these times as they downsize, but I don't think anyone feels comfortable out there... Link to comment Share on other sites More sharing options...
NorthSideSox72 Posted October 9, 2008 Share Posted October 9, 2008 QUOTE (Athomeboy_2000 @ Oct 9, 2008 -> 02:36 PM) there's a reason I called it drastic. The real point of this thread, not made clear by my (my fault), is to talk about solutions. The markets are part of the solution. The markets themselves are not some sort of evil, as is often portrayed in recent times. The IB's and trading firms have done some bad things, but that doesn't make the markets bad. The firms need to be penailzed, but more importantly, brought back in bounds with new regulations and enforcement. The regulations and their agencies (SEC, CFTC, FDIC, etc.) have also failed to address some things - those need to be changed. But the markets themselves are necessary to finding our way out. Link to comment Share on other sites More sharing options...
Balta1701 Posted October 9, 2008 Share Posted October 9, 2008 QUOTE (Steve9347 @ Oct 9, 2008 -> 12:34 PM) You can't shut down the markets for an extended period. Depends on your definition of extended period. For example, they were shuttered for roughly a week after 9/11. For an alternate and perhaps more relevant example, immediately after taking office, when faced with a seeming unending run on banks, FDR ordered a 4 day "Bank holiday" which essentially shut down the banks, delaying the bank runs, giving time for a little bit of calm to appear, and giving him time to push through emergency legislation. I don't think we're at the point where this should happen yet, but panicked selling begets more panicked selling. Perhaps if you give time for some of the panic to subside, then everything will come back closer to an equilibrium. At least that's the thinking. That's half me playing Devil's Advocate and half me thinking if we lose another 2000 points in the next week maybe we should. Link to comment Share on other sites More sharing options...
Balta1701 Posted October 9, 2008 Share Posted October 9, 2008 QUOTE (Athomeboy_2000 @ Oct 9, 2008 -> 12:32 PM) On a positive note: Oil prices closed at $84 Don't worry, OPEC will take care of that. Link to comment Share on other sites More sharing options...
EvilMonkey Posted October 9, 2008 Share Posted October 9, 2008 We need to slap the people that are panic selling their stuff and taking a bath, when in most cases they should just sit tight and ride it out. They are helping to cause this by their own behavior. Alcoa went down $3 per share today. Is Alcoa really worth $3 less this afternoon that it was this morning? If you have bank stocks, maybe. Link to comment Share on other sites More sharing options...
The Critic Posted October 9, 2008 Share Posted October 9, 2008 QUOTE (Steve9347 @ Oct 9, 2008 -> 03:39 PM) The trusted appointed people in the government know better than I. Thankfully, my company sells a product that helps companies in these times as they downsize, but I don't think anyone feels comfortable out there... Alcohol? Nooses? Panic buttons? Link to comment Share on other sites More sharing options...
mr_genius Posted October 9, 2008 Share Posted October 9, 2008 QUOTE (The Critic @ Oct 9, 2008 -> 03:51 PM) Alcohol? Nooses? Panic buttons? Link to comment Share on other sites More sharing options...
HuskyCaucasian Posted October 9, 2008 Author Share Posted October 9, 2008 (edited) QUOTE (Alpha Dog @ Oct 9, 2008 -> 04:49 PM) We need to slap the people that are panic selling their stuff and taking a bath, when in most cases they should just sit tight and ride it out. They are helping to cause this by their own behavior. Alcoa went down $3 per share today. Is Alcoa really worth $3 less this afternoon that it was this morning? If you have bank stocks, maybe. That is what drives me NUTS about the stock market. i wotn get into it now, but stock prices are more often than not not related to the ACTUAL value of a company. It' persevered value. Yes I understand that s how a "free market" works, and I get that totally. But like you said, their overall value didnt go down $3. Edited October 9, 2008 by Athomeboy_2000 Link to comment Share on other sites More sharing options...
mr_genius Posted October 9, 2008 Share Posted October 9, 2008 Closing the markets could very well cause more panic. People would take it as a sign that things are completely out of control. The day the market re-opened I would expect to see a lot of selling. Link to comment Share on other sites More sharing options...
EvilMonkey Posted October 9, 2008 Share Posted October 9, 2008 QUOTE (Athomeboy_2000 @ Oct 9, 2008 -> 04:53 PM) That is what drives me NUTS about the stock market. i wotn get into it now, but stock prices are more often than not not related to the ACTUAL value of a company. It' persevered value. Yes I understand that s how a "free market" works, and I get that totally. But like you said, their overall value didnt go down $3. I've seen my 401k go up, I have seen it go down, and right now I am not even looking. I know we have most of our stuff in the safer investments, lower average returns but generally safer, and the lower price just allows us to purchase more 'units', so when it goes back up, which it will, we'll have even more money. As for the perceived value, what always used to piss me off was when a report would come out that said "profits fell by 20% over last year", and the stock price would tumble. Hello, they still MADE A PROFIT, just 20% less than last year. Link to comment Share on other sites More sharing options...
HuskyCaucasian Posted October 9, 2008 Author Share Posted October 9, 2008 QUOTE (Alpha Dog @ Oct 9, 2008 -> 04:04 PM) I've seen my 401k go up, I have seen it go down, and right now I am not even looking. I know we have most of our stuff in the safer investments, lower average returns but generally safer, and the lower price just allows us to purchase more 'units', so when it goes back up, which it will, we'll have even more money. As for the perceived value, what always used to piss me off was when a report would come out that said "profits fell by 20% over last year", and the stock price would tumble. Hello, they still MADE A PROFIT, just 20% less than last year. That's exactly my point. It's all about expectations. "Experts" say you should make X and when you only make 80% of X, you are looked at as a failure. Even if 80% of X is still dang good. Link to comment Share on other sites More sharing options...
Balta1701 Posted October 9, 2008 Share Posted October 9, 2008 QUOTE (mr_genius @ Oct 9, 2008 -> 03:00 PM) Closing the markets could very well cause more panic. People would take it as a sign that things are completely out of control. The day the market re-opened I would expect to see a lot of selling. It depends on whether or not you have a plan to do anything during the time its closed. Link to comment Share on other sites More sharing options...
mr_genius Posted October 10, 2008 Share Posted October 10, 2008 QUOTE (Balta1701 @ Oct 9, 2008 -> 05:22 PM) It depends on whether or not you have a plan to do anything during the time its closed. I don't really know what they could do. Another bailout? The first didn't work and neither will part II. The market actually went up when the bailout got shot down. Link to comment Share on other sites More sharing options...
lostfan Posted October 10, 2008 Share Posted October 10, 2008 QUOTE (mr_genius @ Oct 9, 2008 -> 08:31 PM) I don't really know what they could do. Another bailout? The first didn't work and neither will part II. The market actually went up when the bailout got shot down. IIRC the government hasn't cut anybody any checks, and won't do so for another few weeks. Link to comment Share on other sites More sharing options...
mr_genius Posted October 10, 2008 Share Posted October 10, 2008 QUOTE (lostfan @ Oct 9, 2008 -> 07:34 PM) IIRC the government hasn't cut anybody any checks, and won't do so for another few weeks. I have no idea if they got the checks yet, or when they will. If anyone has a link that would be helpful. Link to comment Share on other sites More sharing options...
Balta1701 Posted October 10, 2008 Share Posted October 10, 2008 QUOTE (mr_genius @ Oct 9, 2008 -> 05:31 PM) I don't really know what they could do. Another bailout? The first didn't work and neither will part II. The market actually went up when the bailout got shot down. Actually you're slightly off on that...the market plummeted when the bailout got shot down the first time...it just also plummeted when it passed. Link to comment Share on other sites More sharing options...
Balta1701 Posted October 10, 2008 Share Posted October 10, 2008 QUOTE (mr_genius @ Oct 9, 2008 -> 05:39 PM) I have no idea if they got the checks yet, or when they will. If anyone has a link that would be helpful. Secretary Paulson hasn't even figured out how he's going to use the funds yet. Today instead of buying up the troubled assets like they were talking about last week, they're talking about using the money to buy shares of the banks and use that as a way of recapitalizing them (like some people thought was a better idea anyway). Link to comment Share on other sites More sharing options...
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