More economic GOOD News...DOW hits new record..on track to hit 17K.

[Toddsterpatriot]

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Thu, Jul 3, 2014, 10:46 AM EDT - U.S. Markets close early today in 2 hrs 14 mins for The day before Independence Day
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Called IT!

Called what?

 

[bendog]

well, I don't necessarily see that interest rates are "artificially low." I'm not even sure what that term would mean. The Fed's charter requires interest rates be as low as possible to balance inflation and full (whatever that means) employment.

What the fed is doing is buying housing debt, not general bonds. The reason is obvious, the housing market bubble collapsed. But prices are now rising, pretty much across the country. We all live in locales and probably have conventional wisdom. I see a guy who owns large by local standards residential reality business, and he tells me that across the metro area, sales by volume are back to pre-recession levels, i.e. you can now sell a house without giving it away, but you may be near underwater depending on when you bought the house.

But, as I understood the Bernank reasoning, the Fed could and would SELL that housing debt at some point to private investors. That money would then go back into the rather mysterious vaults from whence it somewhat magically emerged. And that would prevent inflation.

The equities market is a whole other thing. It's an emotionally set price on the value of private business values. We'll have a bear market soon. Typically, they'll be at least a 20% "correction." And, the overall bond market is expected to rise as well, esp as the Fed exits buying housing debt, because bond sellers will have to work harder at attracting investors. But, we've seen falling equities and rising bonds many times before. It's not a sky is falling thing.

Inflation can be, such though.

 

[Toddsterpatriot]

Bush Economics

Obamanomics

Where are the tens of thousands of illegal invader children in that Obama picture?

 

[Toddsterpatriot]

JFC, my kid was a bonnaroo (whatever) two weeks ago! (-:

What's scary to me is that the Fed is still buying housing debt, albeit less than before. And housing prices are up 8% over last year for the lastest month prices. Now the Fed in theory has to sell that debt to suck that money back out and prevent inflation. At least I think that's how this thing is supposed to work.

Or the Fed can stop buying new bonds and let the old ones mature.

 

[HenryBHough]

Hooray!

The profile of stocks, interest rates and a variety of other parameters almost exactly matches that of 2007!

 

[Spoonman]

lets see, the market is up to 17K. why are so many still on entitlements? why are so many still on welfare? are these poor not reporting the money they are making on the market? its time the poor start paying their fair share.

 

[Spoonman]

Nearly EVERYONE predicted that the market would hit 17K this year.

Why? QE^Infinity benefits the Big Government cronies who make up the Dow.

Thinking the Dow represents the health of the overall economy is like putting your hand to your forehead and calling it a physical. In the real world, we haven't recovered the full time jobs lost during the recession. The jobs that have been added (i.e. oil related in ND) are in spite of Obamanomics.

Obama has done incredible damage to the economy at large.

Yep, If our economy wasn't as anemic as it is, our market would be well over 20,000 with the reserves billions being thrown into it.

companies are sitting on a ton of cash. overhead is low, they have been downsizing for the last 7 years. they are contributing significantly less to healthcare. many have downsized to avoid the requirements of obamacare. the rich have been taking advantage of all the undervalued stocks and stocks held by the struggling middle class who are forced to sell off assets to make ends meet.

 

[Rozman]

We had a contraction of GDP the first quarter...
That is much more significant.

Where are the thank you's to Obama for that...

Hey Libs how does that effect the economy?

Oh that's right... it's Bush's fault... LOL

 

[Rozman]

Computer programs run the market now.
No idea why a company's stock rises or falls.
Not a lot to do with management running that company much any more.

 

[Chris]

lets see, the market is up to 17K. why are so many still on entitlements? why are so many still on welfare? are these poor not reporting the money they are making on the market? its time the poor start paying their fair share.

Only 1.7% of Americans get more than 50% of their income from welfare.

Republicans want the middle class to hate the poor, so they don't notice the rich walking away with all the money.

That's why FoxNews demonizes the poor and lionizes the rich.

 

[Chris]

We had a contraction of GDP the first quarter...
That is much more significant.

Where are the thank you's to Obama for that...

Hey Libs how does that effect the economy?

Oh that's right... it's Bush's fault... LOL

The most brutal winter in decades.

Nice try though.

 

[Meister]

We had a contraction of GDP the first quarter...
That is much more significant.

Where are the thank you's to Obama for that...

Hey Libs how does that effect the economy?

Oh that's right... it's Bush's fault... LOL

The most brutal winter in decades.

Nice try though.

Nope, the economists aren't buying that yarn

 

[Sallow]

We had a contraction of GDP the first quarter...
That is much more significant.

Where are the thank you's to Obama for that...

Hey Libs how does that effect the economy?

Oh that's right... it's Bush's fault... LOL

The most brutal winter in decades.

Nice try though.

Nope, the economists aren't buying that yarn

Which "economist"?

Rush, Hannity or Jones?

 

[Sallow]

We had a contraction of GDP the first quarter...
That is much more significant.

Where are the thank you's to Obama for that...

Hey Libs how does that effect the economy?

Oh that's right... it's Bush's fault... LOL

Not sure..but I don't think Presidents have a direct effect on the weather.

And believe it or not? It does have an affect on the economy.

 

[Uncensored2008]

Time for fireworks: Dow tops 17,000! - Jul. 3, 2014

Gee, wonder how that happened...

{The Fed has pumped trillions of dollars into the markets by buying up mortgage bonds and U.S. Treasuries. Washington Post’s Neil Irwin explains the impact:

The investors who otherwise would have bought those bonds have to invest in something else. Maybe it’s corporate debt, maybe it’s the stock market, but either way it props up private asset prices and makes it cheaper and more desirable for companies to invest. Higher prices for stocks and other assets also has “wealth effects,” making the people who own those securities feel richer and therefore more willing to spend. It is no coincidence that the rally in the stock market over the last few days has come about following speeches by the No. 1 and No. 2 Fed officials that suggested that QE policies aren’t going away anytime soon.
}

Why Wall Street Is Winning Right Now And Everyone Else Seems To Be Losing - Forbes

Oh, you mean if trillions of dollars from Taxpayers go to Wall Street, it goes up?

 

[Uncensored2008]

Hooray!

The profile of stocks, interest rates and a variety of other parameters almost exactly matches that of 2007!

Which sets next year to match 2008..

Except Obama is in charge, so we will have a 2009 level depression.

 

[Mac1958]

lets see, the market is up to 17K. why are so many still on entitlements? why are so many still on welfare?

Because, of course, the stock market is not the economy, and anyone who knows anything about this stuff knows that.

The economy is getting better, slowly, and hopefully nothing will come along to derail the momentum, such as it is.

.

 

[Uncensored2008]

lets see, the market is up to 17K. why are so many still on entitlements? why are so many still on welfare? are these poor not reporting the money they are making on the market? its time the poor start paying their fair share.

The market itself is an entitlement these days.

The fed has pumped TRILLIONS into the market to inflate it.

Obama: Spending trillions to directly benefit the 1%

 

[Uncensored2008]

lets see, the market is up to 17K. why are so many still on entitlements? why are so many still on welfare? are these poor not reporting the money they are making on the market? its time the poor start paying their fair share.

Only 1.7% of Americans get more than 50% of their income from welfare.

Republicans want the middle class to hate the poor, so they don't notice the rich walking away with all the money.

That's why FoxNews demonizes the poor and lionizes the rich.

Isn't it you of the Khmer Rouge who are cheering the rich? Wasn't it your fellow Communist Shallow celebrating that trillions in government money pushed the DOW to 17K - for the benefit of the top 1%

I know you are not permitted to think comrade, but give it a shot, just this once...

 

[Chris]

George W. Bush inherited a strong economy, a budget surplus, and a nation at peace.

Eight years later, he left Obama with a shattered economy, a trillion dollar deficit, and two useless wars.

Obama saved the country from another Great Depression, rebuilt GM, reformed healthcare, reformed Wall Street, doubled the stock market, created 16 straight quarters of GDP growth, created 60 months of private sector job growth, got Bin Laden, and got Gaddafi.

Obama has done a very good job.