***Official*** 2013 Stock Market Thread

[Kntx]

Not a believer in RRSPs. They'll get taxed eventually and I neither believe taxes nor my income will be lower in the future, so I rather pay now. TFSAs are a gem, but I'd rather not pay the 15% withholding at all, so it's all Canadian stuff in there.

Fair comments on RRSPs. They do not make sense for everyone. But I'd say that if you are a middle class income earner you should get at least some money in there. If you ever have an employment income gap (layoff, child rearing, entrepreneurship) you can draw it down at a low rate.

 

[IHateMyJob2004]

Anyone care to explain this:
https://www.google.com/finance?q=NYSE:LNKD

LinkedIn
Market cap: $30B
revenues: $1.3B

Balance sheet, not worth $30B. Also, seem to love to dilute shareholders.

Their dream: Kill Facebook? Apparently, they want to get teens just starting their careers interested in joining linkedIn.

I just don't see it. Granted I havn't spent much time looking into it. I might grab the reports tonight and start reading.

FWIW: I think they could one day be worth $30B. But this thing is priced for perfection.

 

[mshan]

Don't know what the current stat is, but just a few weeks ago I heard on tv that average hedge fund is only returning around 6% for year.

If it looks like market is going to end year up significantly (gotta remember that some of this year's gains were probably relief rally stolen from end of 2012 (mini fire sale in stock market then), when contentious presidential election was resolved, fiscal cliff seemed imminent, and and sluggish nominal GDP was feared to be pulled to 1% or less because of sequester / fiscal drag (government job layoffs have not really hit yet I don't think, but moving funds around budget instead of actually letting people go will no longer be an option if Congress does nothing to change that), then chase for performance might be on again (???)

Yelp is up alot also (some talking heads on tv have also commented how current leg up in market a week or two ago seems to be based on very speculative names)

 

[sm625]

Well we ended up getting that major rally after all. Amazing... my options were worth 2 cents at one point and have gone all the way back up and then some.

 

[apac]

What was the spike at 2pm from?

 

[Kntx]

What was the spike at 2pm from?

The fed is not tapering their bond buying program.

 

[apac]

The fed is not tapering their bond buying program.

Thanks. Thought I'm surprised they are not, I guess we'll keep this rally going a bit further.

 

[Hugo Drax]

What was the spike at 2pm from?

Money printing to continue = more dollars chasing long equity positions. :biggrin::biggrin::biggrin::biggrin::biggrin::biggrin::biggrin::biggrin::biggrin:

 

[mshan]

"Transparent" Fed --> WTF?



That being said, justification for $10 - $15 billion initial dialing back of taper was Fed had to initiate taper in September because Fed boxed themselves in verbally earlier in year and market would sell of if it didn't get taper (because the lack of taper meant that Fed felt economy was too weak to absorb modest taper).

At least today, market obviously didn't sell off on economic weakness (Fed couldn't taper because of fragile economy argument). Looking back, say May or June, I don't think Fed itself really was indicating September taper (narrative seemed to take hold for whatever reason on tv), but market seemed to assume that because Bernanke did not have press conference after October meeting (he was asked today and said they can add an on the record q and a with reporters at October meeting if need be).

Wondering how much of froth in global credit markets (http://humblestudentofthemarkets.blogspot.com/2013/07/its-risk-premium-stupid.html & http://www.theage.com.au/business/c...g-its-presence-felt-again-20130510-2jdje.html) already been worked off with verbal jawboning by Fed running up to this meeting? And do emerging markets need more time to adjust to actual taper?

Move up in interest rates did seem overdone relative to what Fed seemed to be expecting and I think Bernanke made some comment today about preventing further rise in interest rates now with taper today.

Announcement of QE3 / QE Infinity last September also seemed quite suspect for economic reasons last September, so I guess not announcing initial dialing back of taper as expected shouldn't really surprise us. Rates ultimately being dragged upwards slowly because of more durable and more robust economic growth is what it seems like Fed wants to happen. (not rates going up because big buyer in market is pulling back).

Just like last September, it seems to me that while unemployment and faster economic growth are the ostensible reasons presented for public consumption, but ultimately Fed is targeting (global?) financial stability", and not undoing heavy lifting they have done in last several years. (decade of financial stability needed?: http://www.zerohedge.com/news/2013-...n-collateral-or-how-modern-money-really-works)

"While it’s tough to pinpoint why August has been subject to such sharp upward revisions in the past, Stone has some theories:

The summer vacation season may play some havoc in the distribution of responses. With seasonal employment typically peaking in July, and with pay periods for seasonal workers typically being one-week intervals, it seems probable that more of the decline in seasonal payrolls may get captured in the first reading of August payrolls, than in subsequent counts wherein a higher incidence of establishments with longer pay periods get incorporated into the data.

This may account for the unusually high incidence of August payrolls surprising on the downside in the first release than being revised substantially higher in subsequent release.

It’s quite possible today’s figures will follow historical patterns and get revised higher. Let’s assume that the revisions follow previous trends and today’s number gets boosted by 62,000. That would leave the August figures at 158,000, which is better than what economists had been expecting and in-line with the surprisingly optimistic figures from the July report.

We’re not saying a potential revision would be enough of a reason for the Fed to hold back on unleashing another round of stimulus. But considering the historical trends, it may be something Bernanke & Co. consider when debating what to do next."


http://blogs.wsj.com/marketbeat/201...-report-isnt-as-bad-as-it-looks/?mod=yahoo_hs

http://www.washingtonpost.com/blogs...ebunking-the-jobs-report-conspiracy-theories/

http://finance.yahoo.com/news/goldman-payrolls-shmayrolls-investors-being-174317919.html (Gross Domestic Income instead of GDP, also?)

 

[Hugo Drax]

Push it to the limit.

https://www.youtube.com/watch?v=8QCLtxvxpBw

 

[NFS4]

TSLA up another $7 this morning. Muahahahahah!

https://www.google.com/finance?cid=12607212

So glad I got in relatively early on that one ($52/share)

 

[JTsyo]

The stock market has really taken this shutdown in stride. I think the markets figure it won't be long. If it drags into next wee we might see more of a down turn I think. I won't jump back in until the debt talks seem like they are taken care of.

 

[Brigandier]

Any penny or fiver stocks I should put money in the next month?

I was thinking of picking up $100 of AMD, and some deals.

 

[JTsyo]

Any penny or fiver stocks I should put money in the next month?

I was thinking of picking up $100 of AMD, and some deals.

Maybe OCZ, there was some motion on it last week. Though I think it has been almost an year since they released a statement.

 

[jpiniero]

The stock market has really taken this shutdown in stride. I think the markets figure it won't be long. If it drags into next wee we might see more of a down turn I think. I won't jump back in until the debt talks seem like they are taken care of.

Holding pattern it looks. Problem is, the most likely scenario is some sort of deal which just pushes out the limit to December or whenever. I imagine this is going to drag on for a while until people finally realize what's going on and stop buying the debt.

 

[Imp]

Any penny or fiver stocks I should put money in the next month?

I was thinking of picking up $100 of AMD, and some deals.

Whatever the hell people confused Twitter's IPO with last week. Apparently, the company people were buying thinking that it was twitter was going out of business. Idiocy...

 

[Jeff7]

Whatever the hell people confused Twitter's IPO with last week. Apparently, the company people were buying thinking that it was twitter was going out of business. Idiocy...

Tweeter Home, briefly up more than 1000%. Bankrupt since 2007.

 

[Imp]

Tweeter Home, briefly up more than 1000%. Bankrupt since 2007.

Oh... completely bankrupt, not just going or in receivership.

Should it be delisted?

 

[FelixDeCat]

75 on the qqqs next

buy puts, all in

10/25 75s

 

[Hugo Drax]

Obama is gonna punk out. today. markets will pop after 2

 

[Imp]

Was hoping for some down to buy in, but none of the things I want to buy into are actually moving down much. FML?

 

[brandonb]

Stock market has taken a beating today.

YHOO was down 6% at a time. (Almost $2 ... Was nearly $32, and was $36 last Thursday)

Luckily I had some cash to throw into the mix and took a gamble on 3 different stocks today. (MSFT, YHOO, AMD). We'll see how it turns out.

 

[Ms. DICKINSON]

Quick question: when do Vanguard funds sale/buy executed? I assume it'll be after the market closed. Let say I put an order @10am.
Thanks. Much appreciated.

 

[KB]

Quick question: when do Vanguard funds sale/buy executed? I assume it'll be after the market closed. Let say I put an order @10am.
Thanks. Much appreciated.

Mutual fund purchases/sells are always after close. ETFs purchase/sells are near realtime.

 

[KB]

I really think the GOP senators are shorting the market, and then will reverse the trade just before they approve the budget. We do this all too often. Luckily I pulled some out and will put it all back in around Oct 16th 3:45pm.