Yesterday when the market was down about 230, I told a co worker, don't worry it will be back up tomorrow. Well as much as I was being sarcastic, it looks like the market will close around 230 up today. Does this make any sense to anyone. 2% daily moves are not normal, do any of these guys know what they're doing anymore?
Who are "these guys?" There is a lot of uncertainy right now, from bank's balance sheets, to commodity prices, to the health of the consumer's balance sheets. I still think it should go down more, but it's gone down so much already it's hard to say.
a hell of a lot of volatility nowadays...that's why everyone's in bonds...Do you think there's a correction in the near future?
Much like everyone's opinion, the volatility is due to uncertainty. Today, the consumer confidence data was better than expected as it showed an increase in consumer confidence after several months of decreasing confidence. It seems like any news is shortlived in the market as there is uncertainty on whether the market is ready to bounce back or if there is further room to fall. If banks report better than expected losses, market rallies. If there is a riot at an oil rig causing oil prices to rise, market drops. If jobless claims are worse than forecasted, market falls. If inflation numbers are better than expected, market rallies.
Not necessarily. While your stocks may be getting beat up right now, you may have still picked up some at a discount. Which sector are you invested in?
It has been two wild days, down 200+ then up 200+. Volatility has actually come down some from the beginning of the year and also from about a year ago. Take a look at 8/16/07 on the $INDU, one the craziest day in recent memory. Closed only 16 points down after a high-low range of 368 points! Open: 12859.52 High: 12885.85 Low: 12517.94 Close: 12845.78 Much like everyone else says, the uncertainty is a big reason for the large swings. Oil falling over $20, news in financials, lots of economic data, earnings season. Nothing really seems to add up. In my opinion, buying stocks is a tough call right now. On the other hand, you can profit nicely in the options market with the volatility.
I can only say this: somebody has made a boatload of money in the last two days. The U.S. financial sector has never been this vulnerable.
investors really do have it tough - where should they put their money? real estate is crashing... stocks are getting brutalized because of the economy / earnings bond prices are likely to drop with rising interest rates on the horizon commodities like oil are maxed and down from their peak, and with global demand subsidizing look risky. maybe gold is the answer. cause there's nothing else to buy.
Real estate is not necessarily crashing, but just going through its cycle. Back in the early 1990s, there were similar concerns for Real estate crashing followed by a long boom period.
But market crashes are part of the cycle. When you have the steepest declines since the Great Depression, and parts of the country having 25% price drops in 12 months, you're dealing with a crash. It may have been preceeded by a boom, and a boom may follow, but in the meantime, it's a crash.
No logic. Just people with a lot of money influencing the market so that they won't lose all their money. Only in Wall Street where big reported losses can be considered "better than expected" and cause a rally.
i quote randomdude's post so you can read it again. WE GOT ARTEST!! CLUTCHFANS MARKET IS GOING TO RALLY 900000 POINTS!!!!
These people you talk about did much better when the market was always going up. Now you see traders, hedge funks, banks, and energy companies imploding. They obviously dont have as much influence as they or you think.
