Page 1 of 2 12 LastLast
Results 1 to 15 of 17

Thread: Wall Street | Main Street

  1. #1
    where de crix Oneshot's Avatar Oneshot is offline
    Join Date
    Apr 2003
    Location
    Brick City, NJ
    Posts
    24,648
    Credits
    39,926,670

    Wall Street | Main Street

    One thing I have learnt that there is a huge disconnect between wall street and main street, I used to look at the stock market as an absolute barometer of economic prowess of a country, now I dont believe so anymore.

    But what I am left pondering is where there is money to be made, I mean S&P 500 is up 46.57% from a year ago, and house prices (source) are flat?

    What trends are you anticipating? Do you think that house prices will remain flat for the rest of the year and increase next year? The Dow return to 12K mark? And how do you intend to profit from it?

    I like McD's, Coca Cola and YUM foods (KFC etc), those guys are expanding in India and China, and from reports from co workers seems people are being attracted to the franchises

  2. #2
    JA Soca Ambassador socapineman is offline
    Join Date
    Sep 2003
    Location
    Bklyn
    Posts
    11,835
    Credits
    69,517,073
    Quote Originally Posted by Oneshot View Post
    One thing I have learnt that there is a huge disconnect between wall street and main street, I used to look at the stock market as an absolute barometer of economic prowess of a country, now I dont believe so anymore.

    But what I am left pondering is where there is money to be made, I mean S&P 500 is up 46.57% from a year ago, and house prices (source) are flat?

    What trends are you anticipating? Do you think that house prices will remain flat for the rest of the year and increase next year? The Dow return to 12K mark? And how do you intend to profit from it?

    I like McD's, Coca Cola and YUM foods (KFC etc), those guys are expanding in India and China, and from reports from co workers seems people are being attracted to the franchises
    I mean S&P 500 is up 46.57% from a year ago, and house prices


    What does that mean? ......that average is bogus !




    I dont know what to anticipate....all i am hoping for is interest rates to go to 4%, where i can refinance, that is it.

  3. #3
    where de crix Oneshot's Avatar Oneshot is offline
    Join Date
    Apr 2003
    Location
    Brick City, NJ
    Posts
    24,648
    Credits
    39,926,670
    Quote Originally Posted by socapineman View Post
    I mean S&P 500 is up 46.57% from a year ago, and house prices


    What does that mean? ......that average is bogus !




    I dont know what to anticipate....all i am hoping for is interest rates to go to 4%, where i can refinance, that is it.
    man soca word on the street that is part of stimulus/quantitative easing part 2/3 ( i lost count).. that can cause a lot of bad news for the dollar dread.. seriously.. i feel sorry for savers/ or money market people.

  4. #4
    where de crix Oneshot's Avatar Oneshot is offline
    Join Date
    Apr 2003
    Location
    Brick City, NJ
    Posts
    24,648
    Credits
    39,926,670

  5. #5
    where de crix Oneshot's Avatar Oneshot is offline
    Join Date
    Apr 2003
    Location
    Brick City, NJ
    Posts
    24,648
    Credits
    39,926,670
    Freddie taps Treasury for additional $1.8 billion - MarketWatch

    pay more taxes so homie can pay his mortgage... what a ting

  6. #6
    Registered User dedetriniking's Avatar dedetriniking is offline
    Join Date
    Feb 2006
    Location
    New York
    Posts
    19,867
    Credits
    48,011,233
    Quote Originally Posted by Oneshot View Post
    One thing I have learnt that there is a huge disconnect between wall street and main street, I used to look at the stock market as an absolute barometer of economic prowess of a country, now I dont believe so anymore.

    But what I am left pondering is where there is money to be made, I mean S&P 500 is up 46.57% from a year ago, and house prices (source) are flat?

    What trends are you anticipating? Do you think that house prices will remain flat for the rest of the year and increase next year? The Dow return to 12K mark? And how do you intend to profit from it?

    I like McD's, Coca Cola and YUM foods (KFC etc), those guys are expanding in India and China, and from reports from co workers seems people are being attracted to the franchises
    The housing market doesn't look good at all. Fannie and Freddie are asking for more bailout money. There is still a huge glut of foreclosed homes out there in some states more than others. I don't think you should wait to re-finance because interest rates are new zero right now and will remain that way for a while. The feds are meeting today to talk about their next move if any so that would be interesting to watch....but you can get an interest rate close to 4 these days on your mortgage...so i say refinancing right now makes sense if you have a rate over 5.

  7. #7
    Gladiator
    Guest
    Good points

  8. #8
    JA Soca Ambassador socapineman is offline
    Join Date
    Sep 2003
    Location
    Bklyn
    Posts
    11,835
    Credits
    69,517,073
    Quote Originally Posted by Oneshot View Post
    man soca word on the street that is part of stimulus/quantitative easing part 2/3 ( i lost count).. that can cause a lot of bad news for the dollar dread.. seriously.. i feel sorry for savers/ or money market people.
    Why would you feel sorry for savers? ……what you want them to go into the “rigged” stock market so they can lose their funds. The stock market is not for most ppl !


    Even if money markets are paying 0.25%, it is better to have your principal safe ( FDIC) than having the general public chase returns in the market place, where even the majority of these so call professionals that are running these funds can’t even beat some of the basic index funds, yet they are charging Outrageous management fees.

    Even if you bring in the inflation issue or purchasing power….I tell you what, ask any former Lehman , Enron, etc employee, would they like to have back their principal back ….vs chasing double digit returns .


    It is always better to have something vs. having nothing.

  9. #9
    where de crix Oneshot's Avatar Oneshot is offline
    Join Date
    Apr 2003
    Location
    Brick City, NJ
    Posts
    24,648
    Credits
    39,926,670
    Quote Originally Posted by socapineman View Post
    Why would you feel sorry for savers? ……what you want them to go into the “rigged” stock market so they can lose their funds. The stock market is not for most ppl !


    Even if money markets are paying 0.25%, it is better to have your principal safe ( FDIC) than having the general public chase returns in the market place, where even the majority of these so call professionals that are running these funds can’t even beat some of the basic index funds, yet they are charging Outrageous management fees.

    Even if you bring in the inflation issue or purchasing power….I tell you what, ask any former Lehman , Enron, etc employee, would they like to have back their principal back ….vs chasing double digit returns .


    It is always better to have something vs. having nothing.
    I worked for lehman bros homie.

    I'm just following the fundamentals, not double digit returns, when companies like Exxon or let us take an oil based etf, that pays dividends around 3%, why should you have your money in a bank? just for capital protection? Nah I still think you need to put some money aside for wealth generation, inflation + low interest rates = loss of capital. The only way i see the approach you are suggested make sense is if there is going to be massive deflation, like the still Japan has.

    And if that happens.. well guess what the bank is going to be broke.

  10. #10
    JA Soca Ambassador socapineman is offline
    Join Date
    Sep 2003
    Location
    Bklyn
    Posts
    11,835
    Credits
    69,517,073
    Quote Originally Posted by Oneshot View Post
    I worked for lehman bros homie.

    I'm just following the fundamentals, not double digit returns, when companies like Exxon or let us take an oil based etf, that pays dividends around 3%, why should you have your money in a bank? just for capital protection? Nah I still think you need to put some money aside for wealth generation, inflation + low interest rates = loss of capital. The only way i see the approach you are suggested make sense is if there is going to be massive deflation, like the still Japan has.

    And if that happens.. well guess what the bank is going to be broke.

    Oneshot, all due respect, I am glad you are still employed during these tough times….but working for them is nothing to brag about !

    Given, upper management destroyed that company! You had one guy, title: Senior VP of Risk management, in charge of a huge dept. that was supposed to oversee the Risk factors for all investments throughout the company, so much for that!


    Now, back to our statement….Lehman retirement….where is it ? does not exist anymore… gone, the company as you know filed for the largest Chapter 11 bankruptcy protection , The capital markets and investment banking operations were then sold to Barclays Capital Inc. So anyone holding on to the stock got screwed in their 401k, now the former employers who were receiving benefits for a few years now have to go and fight with The U.S. Pension Benefit Guaranty Corp. to continue to receive their monthly benefits, now that is another set of problems if they are not fully funded….



    Re : your 3% example….man are you for real, bro, now you sounds like a rookie….first, as you know, dividends are not guaranteed , next you can earn a 5% dividend, but what if the stock is falling, then what….you just got screwed….man come better than that example !


    All I am saying is that the market is not for the general public who are clueless to the world of high finance, also, if they don’t have a savings plan…what the hell they doing in the market ?

  11. #11
    where de crix Oneshot's Avatar Oneshot is offline
    Join Date
    Apr 2003
    Location
    Brick City, NJ
    Posts
    24,648
    Credits
    39,926,670
    Quote Originally Posted by socapineman View Post
    Oneshot, all due respect, I am glad you are still employed during these tough times….but working for them is nothing to brag about !

    Re : your 3% example….man are you for real, bro, now you sounds like a rookie….first, as you know, dividends are not guaranteed , next you can earn a 5% dividend, but what if the stock is falling, then what….you just got screwed….man come better than that example !

    All I am saying is that the market is not for the general public who are clueless to the world of high finance, also, if they don’t have a savings plan…what the hell they doing in the market ?
    come on socapineman.. i am not bragging, i am putting thigns in perspective for you. i was present when the walls came crashing down, as saw the downwards spiral

    check it, I never advocated putting your money in the same company you work. I never advocated putting all of money on one financial instrument (stocks vs cash vs commodities). What I am saying is that the individual has to be adventurous and step outside pure cash because inflation is eating away at the value of capital every time the fed prints money (monetizing gov debt, bailout for banks, etc) or whenever china decides to reduce its holding on US debt/currency.

    Stocks rise and fall yep we know this. But are you more concerned for the longterm view or the current balance? For example let us take any oil company related etf right.. now when the market goes down all the market goes down I agree. But these companies still pay dividends, with the large possibility to go up in value (lets face it we are dependent on energy). It is about the discipline, saving/investing for tomorrow.

    Where we totally disagree is that the general public needs to have a better grasp of finance, and understand the costs of bailouts, or at least understand what inflation means to your bank account.

  12. #12
    JA Soca Ambassador socapineman is offline
    Join Date
    Sep 2003
    Location
    Bklyn
    Posts
    11,835
    Credits
    69,517,073
    Quote Originally Posted by Oneshot View Post
    come on socapineman.. i am not bragging, i am putting thigns in perspective for you. i was present when the walls came crashing down, as saw the downwards spiral

    check it, I never advocated putting your money in the same company you work. I never advocated putting all of money on one financial instrument (stocks vs cash vs commodities). What I am saying is that the individual has to be adventurous and step outside pure cash because inflation is eating away at the value of capital every time the fed prints money (monetizing gov debt, bailout for banks, etc) or whenever china decides to reduce its holding on US debt/currency.

    Stocks rise and fall yep we know this. But are you more concerned for the longterm view or the current balance? For example let us take any oil company related etf right.. now when the market goes down all the market goes down I agree. But these companies still pay dividends, with the large possibility to go up in value (lets face it we are dependent on energy). It is about the discipline, saving/investing for tomorrow.

    Where we totally disagree is that the general public needs to have a better grasp of finance, and understand the costs of bailouts, or at least understand what inflation means to your bank account.




    The individual has to be adventurous……smh, ok bro, I will say that we respectful disagree!


    You want the general public, who I am willing to guess can’t explain the difference between a Bond and a Bond fund much less what is the difference between commercial bank vs. a savings bank ! …ok…as long as this make sense to you.

    Re : But these companies still pay dividends…Oneshot, you are still missing my point…when you see a chart showing the 1, 5, 10 year returns for dividends paying stocks, Bond funds, EFts, etc…….ex for a bond fund, if the yield is 8%, but the fund is down by 7%...what is your true return….1%


    So, I am sure you know this, if not…then “When Yield Goes Up, Price Goes Down”



    So what I am saying is that you can gain on the yield, while losing on the appreciation of the price. So if and when you Cash out WHEN YIELDS ARE UP, YOU will get screwed .

  13. #13
    where de crix Oneshot's Avatar Oneshot is offline
    Join Date
    Apr 2003
    Location
    Brick City, NJ
    Posts
    24,648
    Credits
    39,926,670
    Quote Originally Posted by socapineman View Post
    So, I am sure you know this, if not…then “When Yield Goes Up, Price Goes Down”

    So what I am saying is that you can gain on the yield, while losing on the appreciation of the price. So if and when you Cash out WHEN YIELDS ARE UP, YOU will get screwed .
    words of wisdom; I dont want to come across as merely pushing yield as the carrot. But I do see yield as a sweetener to take on some risk. I do kick myself for not purchasing any Coca Cola, or J&J during the low point of last year. (you will probably laugh at my reason, i didnt want to spend money on the high commissions.

  14. #14
    JA Soca Ambassador socapineman is offline
    Join Date
    Sep 2003
    Location
    Bklyn
    Posts
    11,835
    Credits
    69,517,073

    Thumbs up

    Quote Originally Posted by Oneshot View Post
    words of wisdom; I dont want to come across as merely pushing yield as the carrot. But I do see yield as a sweetener to take on some risk. I do kick myself for not purchasing any Coca Cola, or J&J during the low point of last year. (you will probably laugh at my reason, i didnt want to spend money on the high commissions.
    LOL, man, I have one for you....Citibank...now , I have done no research....you already know all the #s are rigged, but just given the price....close today at $3.79, in this from $2.10, this i am betting the farm on ! Sitting with 5k shares and 50 leaps for Jan 12, strike price of $7.5. .....now this is a risk worth taking.

  15. #15
    where de crix Oneshot's Avatar Oneshot is offline
    Join Date
    Apr 2003
    Location
    Brick City, NJ
    Posts
    24,648
    Credits
    39,926,670
    Quote Originally Posted by socapineman View Post
    LOL, man, I have one for you....Citibank...now , I have done no research....you already know all the #s are rigged, but just given the price....close today at $3.79, in this from $2.10, this i am betting the farm on ! Sitting with 5k shares and 50 leaps for Jan 12, strike price of $7.5. .....now this is a risk worth taking.
    man i would never touch C, honestly.. creative accounting and all that shit.. you got moxy. too much of a gamble for interests can go up.

    I am bit worried cause if C goes to 7.5 by Jan.. that means we in massive inflation bubble and that worries me deeply.

Page 1 of 2 12 LastLast

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •