General Discussion

cthulu2016

(10,960 posts)

17. Which makes perfect sense

Tue May 1, 2012, 03:05 PM

May 2012

Stocks reflect corporate profits.

Corporations are more profitable than ever, having found they can make do without employees.

It makes sense for stocks to be high.

A perversity of the market is that a stock jumps every time a company announces it is firing a bunch of people. Apply that to the whole economy and we are where we are.

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Dow soars to 4-year high [View all] sinkingfeeling May 2012 OP

Whooptee f'ing doo. The rich manipulators are at work, they need new clubs for their Lionessa May 2012 #1

Please consider that millions of Americans now 'rely' on corporate stocks sinkingfeeling May 2012 #3

So what, does that change reality in some way? Lionessa May 2012 #4

It is incumbent upon every investor to reduce their equity holdings as they get closer to Common Sense Party May 2012 #7

And Shift Funds Into What? Yavin4 May 2012 #12

Ding ding ding ding ding! Lionessa May 2012 #13

Bonds, blue chip high dividend stocks, preferred stocks, etc? dmallind May 2012 #14

Some what from the pot to the kettle, some might say, Lionessa May 2012 #20

Some would be wrong then dmallind May 2012 #45

The point is that most average 401K holders don't know the Lionessa May 2012 #51

But that's not an excuse WinniSkipper May 2012 #53

EXCUSE!?!?! F' that meme. Perhaps if banking had remained safe and sane Lionessa May 2012 #55

Are you saying WinniSkipper May 2012 #56

+1 n/t FSogol May 2012 #61

IOW, Take On More Risk When You Can Least Afford To Yavin4 May 2012 #27

Many bonds have never ever defaulted, many dividends have never missed. A meteor could strike too dmallind May 2012 #43

Would you prefer some inflation to get those rates back up? nt hack89 May 2012 #18

Yes (nt) Recursion May 2012 #25

We Already Have Enough Inflation To Justify Higher Rates Yavin4 May 2012 #29

I believe I clearly stated what we should shift money into. Common Sense Party May 2012 #30

IOW, Keep Gambling and Take On More Risk Yavin4 May 2012 #33

Not what I said at all. If you would read what I said, you'd know that. Common Sense Party May 2012 #37

No - then you buy. dmallind May 2012 #46

Sure, You Can Play That Game When You're Young Yavin4 May 2012 #58

Please consider that that scheme has been exposed as an illusion Egalitarian Thug May 2012 #8

Really? That's how you think a 401K works? sinkingfeeling May 2012 #11

That's not what I think, that's what we've seen. Egalitarian Thug May 2012 #19

That's not what I've seen. Common Sense Party May 2012 #31

Then you're just not looking. There are millions of cases of this happening to people from across Egalitarian Thug May 2012 #34

Actually there aren't, but, hey, believe what you wanna believe. Common Sense Party May 2012 #35

That's pretty funny. Egalitarian Thug May 2012 #39

That's pretty boring. Common Sense Party May 2012 #40

And there are tens of millions who didn't panic and saw nice DCA gains. dmallind May 2012 #47

Two problems with this logic. One a retirement plan is not disposable income with which Egalitarian Thug May 2012 #59

I think you are referring to WinniSkipper May 2012 #54

No. Legalizing the looting of pension funds necessarily preceded and motivated the Egalitarian Thug May 2012 #62

What companies out there right now WinniSkipper May 2012 #65

None that I know of, that's the point. I'm sure there are many tiny to small Egalitarian Thug May 2012 #66

I agree with your first two paragraphs WinniSkipper May 2012 #70

They rely a hell of a lot more on their paychecks, which have been shrinking eridani May 2012 #22

Retirees get paychecks? sinkingfeeling May 2012 #42

They get Social Security and (if lucky) defined benefits pensions eridani May 2012 #64

I have done well as the DOW has risen under Obama. The rich are not the only benefactors. bluestate10 May 2012 #68

Bluedog much? Lionessa May 2012 #69

That's impossible!!! I heard it right here on the DU that them stocks is a scam!!>!>!>! cbdo2007 May 2012 #2

damn you Obama Johonny May 2012 #5

Where is the money coming from? RobertEarl May 2012 #6

As we move through this summer, go back and look at the market behaviour in Egalitarian Thug May 2012 #9

I remember that RobertEarl May 2012 #15

And just what is this "resurgence" based on? Egalitarian Thug May 2012 #32

The Market should have never dropped below 10k. JoePhilly May 2012 #44

So, because you have some faith-based notion that the market's response Egalitarian Thug May 2012 #60

Na ... once some one calls me "faith based" ... I generally stop reading. JoePhilly May 2012 #63

Oh no, if you don't see the relevance of nothing being shipped around the globe to the stock market Egalitarian Thug May 2012 #67

Part of the election cycle, I wonder? BadgerKid May 2012 #10

K&R Tarheel_Dem May 2012 #16

Which makes perfect sense cthulu2016 May 2012 #17

I'm sure it will trickle down to the commoners..someday...maybe..if conditions improve..never mind. Tierra_y_Libertad May 2012 #21

It does trickle down to many of us who have investments in the stock market. cbdo2007 May 2012 #23

... cthulu2016 May 2012 #24

Not sure what this is trying to disprove.... cbdo2007 May 2012 #48

Can you not imagine a reply that isn't intended to rebut? cthulu2016 May 2012 #49

hahaha, ok, thanks. Sorry! cbdo2007 May 2012 #52

And in other news, Mitt Rmoney bought pizza C_U_L8R May 2012 #26

In other news, Republicans accused Obama of exploiting the death of bin Laden for political gain. yellowcanine May 2012 #28

To all the people here who laughed at me when I said "buy" in March of 2009 Warren DeMontague May 2012 #36

Über-pessimists never apologize. They just invent one more contrived conspiracy theory Common Sense Party May 2012 #38

Obama DOUBLED the Dow! 6500 to 13000 ErikJ May 2012 #41

Terrible news. Scurrilous May 2012 #50

Great news for investors! raouldukelives May 2012 #57