Inflation is still terrible. Europe is in the midst of its first war since World War II. China is still doing lockdowns that are crippling its economy and global supply chains are still screwed up. We're going down some more before we bounce back.
i bot ONE whole googl share lol. told myself i would stop but couldn't resist when i see googl at same p/e as coke. nibbled on fvrr, market cap down to $1.2bn, 3x revenue. both biz should be fairly resistant to supply chain issues and material inflation. waiting for uncle j before buying anything else.
do u have a view of how high rates could go? i have no idea, i know historically they can go a lot higher, but if we have a recession will they really go that high?
Well if the 70s and 80s are a template, the Fed will choose raising rates and curbing inflation over reducing unemployment. In a stagflation environment (high inflation and unemployment), the Fed will always pick tackling inflation first. I dont think we'll end up in double digit interest rates again like the 70s but we have a ways to go. The Federal Funds rate is only at 1% right now. Even before the pandemic, the rate was around 2.5% and 15 years ago it was around 5%. In short, expect a lot more rate hikes. Rates are still crazy low. Combine that with phasing out QE and other forms of monetary stimulus and you'll see that they've only started.
Yep, stagflation at it's worst. We've never had a real recession except for Covid. But the government printed money to keep everyone afloat. Interest rates will continue to go up and lots of new tech companies will run out of money and start layoffs. Buckle up ladies, we're in this for the long run.
The wreck isn't the bad part. The bad part is wrecking and you having to sit there for months/years for your trip to the hospital. After the run-up we had the past few years, I was happy for the wreck - I just don't know about some kind of V-shaped recovery, but then I'm not really looking for one. I'd be looking for what stocks you'd like to buy. If you're fully-invested, you're probably just going to have to wait if this is a drawn-out process. Right now it's just a bunch of algorithms battling in the morning and afternoons. Nobody's going to be able to predict "this is the bottom", so either wait it out or buy it on the way down (and I don't mean buy every dip daily... lol).
Understatement right here. Algorithms should either be banned or they need to stop putting regular people that come up with their own successful algorithms (although those days are probably over) in jail (lulz).
Passives are causing a feedback loop that play into said algos. There's at least one big algo per industry (money fund, 401k, mutual, hedge, pension, ib, commodities, trading platforms, derivatives, bonds etc). Critics talk about big tech preying on customers as data livestock. These ****ers have been doing it for a long long time with people's money for their data. They just don't care about the after effects.
True story. Regular people that come up with their own successful algorithms are usually only successful when everything is going up. (Ok, only half-joking there...)
