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  • Post Election Thought

    Those who have invested in collector cars probably are chuckling at those of us who have money in the stock market. I should have listened to a financial advisor's advice to get out in case what happened happened.
    Tim-'53 Starlight Commander Custom and '63 Avanti in Yuma, AZ
    https://www.jimsrodshop.com/project/53-resurrection https://www.jimsrodshop.com/project/always-ahead

  • #2
    Some call it a correction, some call it a buying opportunity.
    Don Wilson, Centralia, WA

    40 Champion 4 door*
    50 Champion 2 door*
    53 Commander K Auto*
    53 Commander K overdrive*
    55 President Speedster
    62 GT 4Speed*
    63 Avanti R1*
    64 Champ 1/2 ton

    * Formerly owned

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    • #3
      Speaking for myself here in Australia, my share portfolio provides several thousand dollars of dividends each year, most of which are (due to being paid from after tax profits) tax free to me. A collector car however nice provides no income unless sold and then the tax offices (in USA, don't think here) take a slice.
      John Clements
      Christchurch, New Zealand

      Comment


      • #4
        Originally posted by paintim613 View Post
        Those who have invested in collector cars probably are chuckling at those of us who have money in the stock market. I should have listened to a financial advisor's advice to get out in case what happened happened.

        I'm confused, the market is up 60 % since the last election. Are you talking about the most recent drop of 5 % in the few days after this one. ? No question the market will be shaky until the Greek debt crisis and our own fiscal cliff deal is resolved, but two or three down days is not even a correction.
        JDP Maryland

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        • #5
          Originally posted by JDP View Post
          I'm confused, the market is up 60 % since the last election. Are you talking about the most recent drop of 5 % in the few days after this one. ? No question the market will be shaky until the Greek debt crisis and our own fiscal cliff deal is resolved, but two or three down days is not even a correction.
          I would respectfully submit that a drop of 300 points immediately after the election is indicative of one thing.
          Bill Pressler
          Kent, OH
          (formerly Greenville, PA)
          Currently owned: 1966 Cruiser, Timberline Turquoise, 26K miles
          Formerly owned: 1963 Lark Daytona Skytop R1, Ermine White
          1964 Daytona Hardtop, Strato Blue
          1966 Daytona Sports Sedan, Niagara Blue Mist
          All are in Australia now

          Comment


          • #6
            Originally posted by Bill Pressler View Post
            I would respectfully submit that a drop of 300 points immediately after the election is indicative of one thing.
            Then a 6,000 point advance in the last 3 years would be indicative of....?

            ONE factor may have been the election. A decline in the price of stocks in the major banks is one of the factors that helped move the market lower on Wednesday. If I was a bank, I'd be pretty happy with the current situation where there was potential up side and no down side when I gambled with my depositors' money. Taxpayers would continue to bail me out if I was wrong. Some investors feel that MAY now change in the next 4 years and that it was more likely NOT to change if the election went the other way. They sold bank stocks.

            If you TRULY believe that the market can ONLY go lower now, you owe it to yourself to take every dime you have and short the market...but, if the market does turn around in the next few days, be sure to credit the same forces that you feel led to the decline in the last few days.

            Fear and greed are the ONLY forces that move the market in the short term. Longer term, cooler heads prevail.
            Dick Steinkamp
            Bellingham, WA

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            • #7
              I recall an article I heard or read about a year ago. Can't remember the venue, but the scenario went like this: The newspaper or netwwork waited until there was a drop on the Dow-Jones of more than 1% in a single day, then sent an army of reporters out to the bars where stock traders were known to hang out after work. They asked about 20 of these professionals a simple question: "Why did the stock market drop so precipitously today?". No two of them answered the question the same way -- in fact, many of the answers were contradictory.

              In other words, no one knows why the stock market does what it does in the short term, but everyone choses an explanation that conforms to their own view of the world.
              Skip Lackie

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              • #8
                A lot of things can affect the market over a nearly four-year period, but markets falling 300 points on the day the election results are reported can really only be the result of one thing. I believe everyone really knows that.
                Bill Pressler
                Kent, OH
                (formerly Greenville, PA)
                Currently owned: 1966 Cruiser, Timberline Turquoise, 26K miles
                Formerly owned: 1963 Lark Daytona Skytop R1, Ermine White
                1964 Daytona Hardtop, Strato Blue
                1966 Daytona Sports Sedan, Niagara Blue Mist
                All are in Australia now

                Comment


                • #9
                  Originally posted by Bill Pressler View Post
                  A lot of things can affect the market over a nearly four-year period, but markets falling 300 points on the day the election results are reported can really only be the result of one thing. I believe everyone really knows that.
                  Exactly. And if you look at the data, sure we may be up 60% in the past four years, but we're not up 60% in the past FIVE years. We're still climbing out of the hole Dodd-Frank dug for us.
                  sigpic

                  1950 Commander Starlight Coupe
                  Regal Deluxe Trim
                  Automatic transmission
                  46k original miles, 4th Owner

                  Comment


                  • #10
                    Originally posted by Bill Pressler View Post
                    A lot of things can affect the market over a nearly four-year period, but markets falling 300 points on the day the election results are reported can really only be the result of one thing. I believe everyone really knows that.

                    If everyone knows that, pity the fools pushing the market higher today. As we suggested, tell your broker to short the market and clean up, just be thankful you hung in when it more than doubled since 2008. We'll check back in a few weeks and see how much you've cleaned up, but as was stated, the market goes up and down no matter who's in power.



                    "NEW YORK (Reuters) - Stocks bounced higher on Friday as buyers stepped in following two days of steep losses after data showed confidence among consumers and wholesale business inventories were stronger than expected.

                    Consumer sentiment rose to its highest level in more than five years in November, according to the Thomson Reuters/University of Michigan preliminary index of sentiment, indicating Americans felt more optimistic about employment prospects and the outlook for the overall economy.

                    Still, markets remained concern about the widening euro zone crisis and the looming "fiscal cliff."
                    JDP Maryland

                    Comment


                    • #11
                      Originally posted by JDP View Post
                      I'm confused, the market is up 60 % since the last election.<<<
                      Selling; all were BuyingGOLDhttp://www.abc57.com/news/local/Gun-...177798911.html

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                      • #12
                        Originally posted by Welcome View Post
                        Yep, guns, gold and seeds are selling briskly, just like four years ago.
                        JDP Maryland

                        Comment


                        • #13
                          John, I know you're in sales, but you have to admit that that kind of a drop the day election results were reported, had to do with the results of the election.
                          Bill Pressler
                          Kent, OH
                          (formerly Greenville, PA)
                          Currently owned: 1966 Cruiser, Timberline Turquoise, 26K miles
                          Formerly owned: 1963 Lark Daytona Skytop R1, Ermine White
                          1964 Daytona Hardtop, Strato Blue
                          1966 Daytona Sports Sedan, Niagara Blue Mist
                          All are in Australia now

                          Comment


                          • #14
                            If you invest in the market based on the results of elections, you'll lose money. There are bigger influences. Clinton had a balanced budget because he was lucky enough to be POTUS during the internet boom, Bush was unlucky to be POTUS when the housing market crashed. BTW, see how close both sides are in market performance after inflation.

                            "Using the Dow Jones industrial average as the benchmark, Stock Trader's Almanac shows a $10,000 investment compounded during Democratic presidencies since 1901 would be worth $279,705 after 48 years. The same $10,000 investment during 56 Republican years would have been worth just $78,699. If you adjust for inflation, the value of a $10,000 investment under Democratic presidents is $33,426.The inflation-adjusted value under Republican presidents is $26,145.

                            Many factors affect these results besides the president's party. The Republicans got a big lift during the Eisenhower and Reagan years. Democrats Roosevelt and Truman benefited from the recovery that followed the 89% fall in the Dow during the Depression. The Democratic lead was solidified by the tremendous run-up in stocks during the Clinton administration.
                            If these types of statistics interest you, I really suggest you pick up a copy of Stock Trader's Almanac. The book contains hundreds of fascinating historical records spotting trends and patterns in the stock market. "
                            JDP Maryland

                            Comment


                            • #15
                              Predicting the stock market is like alchemy...even a magician can't figure it out. I do believe the drop immediately after the election was a reflection of the results, but the buying spree after that drop was due to opportunities that arise from such drops.

                              I think a better way to look at the economy is to watch how companies are preparing for the future...not wholly based on the election results but that does have a bearing. Companies base their future plans on how they view government actions and inactions...regulations and laws they have to comply with. Many, many small and large companies are announcing layoffs due to the costs of health care regulation and how it impacts their costs of complying. The potential is scary and we may be entering a stage of permanent recession due to it. I hope not, but businesses are retrenching out of a sense of self-preservation.

                              The laws of unintended consequences looks like it's going to bite us in the butt. Some companies will do well...some won't, but all will suffer some effects.
                              Poet...Mystic...Soldier of Fortune. As always...self-absorbed, adversarial, cocky and in general a malcontent.

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