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View Full Version : The Bear and the Bull, Financial Markets thread



chrisrenrut
02-19-2013, 04:48 PM
I wanted to creat a place for informal discussion on the financial markets.

I don't have a lot of investments, mostly just what I have in my retirement accounts. But even without a lot of direct involvement, it is fascinating to watch the markets. It is like the ultimate barometer of the country's mood. (It may also make BYU71's head explode).

I don't understand how with Sequestration and the debt deleting looming, the markets can be so positive right now. Even in December, with the uncertainty of fiscal cliff, the market was more up than down. Have we turned the corner on the economy so much since 2008 that these types of issues are no more than speed bumps?

chrisrenrut
02-25-2013, 02:35 PM
I was looking for reasons for today's sell off, CNBC seems to blame it on the Italian election, with hardly a word about the effects of thesequestration deadline. Seems strange to me.

I thought this was an interesting article and graph. My wife complained Saturday about how expensive groceries are getting, and my first thought was maybe we should start clipping coupons.

http://www.cnbc.com/id/100485313

BYU71
02-25-2013, 03:51 PM
Here is my guess why it sold off. Just a guess. For the first time in about 5 years last month there was more inflow into Equity mutual funds than outflow. Yep, I still believe the typical guy in the market is moved more by emotion that good solid thought.

It is like anything else that has to do with Economics 101, supply and demand. As the market goes up you have more and more buyers (demand) deciding to get on board. Now if you had 10 potential buyers and 8 of them bought along the way, what is left to push it higher?

I could get my fanny in a ringer for even hinting at giving advice so I want to make it clear I am not saying the selling of the last few days represents something long term or just a short term blip. It is nice to know though the sell off has put some money in some pockest making for some additional people in position to buy. If anyone knows when they are going to, send me a board mail would you.

big z
02-25-2013, 03:56 PM
Question for you guys, i've been looking at starting to get into the market. Where is a good starting point for a rookie?

Recommendations for books? Websites to start reading?

SavaUte
02-25-2013, 04:11 PM
My advice is to not get into the market. You'll probably get lucky at first (everyone does), but I wish I hadn't ever gotten in

stretchiute
02-25-2013, 06:50 PM
Question for you guys, i've been looking at starting to get into the market. Where is a good starting point for a rookie?

Recommendations for books? Websites to start reading?

I've heard the tulip markets are the next big thing ;).

My advice is learn 2-3 industries well. I would also say that for the general population, index funds are cheap and will lead to success as often as active trading. I don't know if now is the time to get in however. I

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U-Ute
02-25-2013, 06:58 PM
Best bet is to watch the market, and do lots and lots of research. If you are familiar with a particular industry, then keep an eye on that one in particular.

Right now, being on the verge of the sequestration, it probably isn't the best time to get in. Lots of unknowns. I'd just watch it unfold for the next 6 months before jumping in.