Dow hits 4 year high, NASDAQ too. Yay Socialism!!

whygohome

My best friend is a commodities trader on Wall St. One day, when the NASDAQ reached a record high, he texted me: "NASDAQ hits record high. Yay Socialism!!" Obviously, it was a joke at the expense of...well, that's not important at the moment.

Stocks Rally 1%, Dow Crosses 4-Year High
Published: Tuesday, 1 May 2012 | 12:37 PM ET
Text Size
By: JeeYeon Park
CNBC.com Writer


Stocks added to sharp gains across the board on the first trading day of May, with the Dow hitting its best level since December 2007, propelled by a better-than-expected manufacturing report that calmed worries over a slowdown in the recovery.

Major U.S. Indexes
DJIA
13329.65
116.02
+0.88%
.NCOMP
3079.05
32.69
+1.07%
0
.SPX
1413.76
15.85
+1.13%
0

The Dow Jones Industrial Average jumped sharply, led by BofA [BAC 8.3399 0.2299 (+2.83%) ] and JPMorgan [JPM 44.0674 1.0874 (+2.53%) ], after managing to eke out a small gain in April for the seventh-consecutive month.

Cisco [CSCO 20.123 -0.032 (-0.16%) ] was the only laggards on the blue-chip index.

The S&P 500 and the Nasdaq rallied 1 percent each. The CBOE Volatility Index, widely considered the best gauge of fear in the market, slipped below 17.

All 10 S&P sectors turned higher, led by energy and financials.

gimmesometruth27

somehow the gop is going to claim all the credit for this... :roll:

inlet13

whygohome wrote:

My best friend is a commodities trader on Wall St. One day, when the NASDAQ reached a record high, he texted me: "NASDAQ hits record high. Yay Socialism!!" Obviously, it was a joke at the expense of...well, that's not important at the moment.

Stocks Rally 1%, Dow Crosses 4-Year High
Published: Tuesday, 1 May 2012 | 12:37 PM ET
Text Size
By: JeeYeon Park
CNBC.com Writer


Stocks added to sharp gains across the board on the first trading day of May, with the Dow hitting its best level since December 2007, propelled by a better-than-expected manufacturing report that calmed worries over a slowdown in the recovery.

Major U.S. Indexes
DJIA
13329.65
116.02
+0.88%
.NCOMP
3079.05
32.69
+1.07%
0
.SPX
1413.76
15.85
+1.13%
0

The Dow Jones Industrial Average jumped sharply, led by BofA [BAC 8.3399 0.2299 (+2.83%) ] and JPMorgan [JPM 44.0674 1.0874 (+2.53%) ], after managing to eke out a small gain in April for the seventh-consecutive month.

Cisco [CSCO 20.123 -0.032 (-0.16%) ] was the only laggards on the blue-chip index.

The S&P 500 and the Nasdaq rallied 1 percent each. The CBOE Volatility Index, widely considered the best gauge of fear in the market, slipped below 17.

All 10 S&P sectors turned higher, led by energy and financials.

It's great that the Dow improved, and I hope it continues. But, if you or your friend think macro fundamentals are improving, hate to say it but... you're delusional. If we really want to have threads about 1% gains/losses, we would have had a bunch on those that were loss-oriented that took place over the last few weeks. I mean the DOW broke through 13000 in BOTH February and March, only to fall right back below it again. May has typically been a bad month over the last few years, so it's great its' starting off well. And, I don't want to diminish your optimism. I just want to add a touch of real life to it.

For example, did you know that England, Spain, Greece, Portugul, Ireland, Netherlands, Belgium, Czech Republic, and Slovenia are in CONFIRMED "double-dip" recessions... right now? Some of these were just confirmed. EU will be in one, if it isn't already. Europe's economy is larger than the US economy. Our recession - pulled them into recession (first dip), what do you think their new recession (double dip) will do to us?

I wouldn't do happy dances about 1% gains in stocks just yet.

Oh and ummm... socialism or movement towards that end of the spectrum, from my perspective, is a huge reason for this double-dip. Hence, why you see countries with the worst Debt/GDP ratios falling first.

whygohome

inlet13 wrote:

It's great that the Dow improved, and I hope it continues. But, if you or your friend think macro fundamentals are improving, hate to say it but... you're delusional. If we really want to have threads about 1% gains/losses, we would have had a bunch on those that were loss-oriented that took place over the last few weeks. I mean the DOW broke through 13000 in BOTH February and March, only to fall right back below it again. May has typically been a bad month over the last few years, so it's great its' starting off well. And, I don't want to diminish your optimism. I just want to add a touch of real life to it.

For example, did you know that England, Spain, Greece, Portugul, Ireland, Netherlands, Belgium, Czech Republic, and Slovenia are in CONFIRMED "double-dip" recessions... right now? Some of these were just confirmed. EU will be in one, if it isn't already. Europe's economy is larger than the US economy. Our recession - pulled them into recession (first dip), what do you think their new recession (double dip) will do to us?

I wouldn't do happy dances about 1% gains in stocks just yet.

Oh and ummm... socialism or movement towards that end of the spectrum, from my perspective, is a huge reason for this double-dip. Hence, why you see countries with the worst Debt/GDP ratios falling first.

This post was tongue-in-cheek. (And, it is connected to one of my earlier thread's concerning the connection between Wall St. and Main St.)

My friend and I are well aware that this means nothing/close to nothing for the larger economy and for Main St. (Also, my friend is a 33 year old millionaire who works 10 hours a week. He is far from delusional.)

I'm not optimistic, because I know that this generally means shit for Main Street. it just shows that our economy, even when mired in a recession favors the rich and the powerful. This won't change as long as D.C. is bought and sold by the same people who benefit most by this system.

Also, those countries you listed, most of them took the path of austerity, and some the path of ONLY austerity, and that is the leading factor as to why they are in a double-dip. **Especially England.

whygohome

gimmesometruth27 wrote:

somehow the gop is going to claim all the credit for this... :roll:

Haha. But none of the blame for the collapse!!

Poor Greenspan and Paulson. They watched in disbelief and a babbling stupor as the product of their free-market libertarianism collapsed.

inlet13

whygohome wrote:

Also, those countries you listed, most of them took the path of austerity, and some the path of ONLY austerity, and that is the leading factor as to why they are in a double-dip. **Especially England.

First, not all of them have. Second, they were put into the situation by the opposite of austerity.

I find it hysterical that Keynesians always try to convince people that the cure for ills is more of the drug that got them ill. Now, if you're arguing weaning off may be smarter, I could see that. But, arguing for more government spending in light of the Debt issues, is incorrect in my mind.

CH156378

:corn:

Newch91

gimmesometruth27 wrote:

somehow the gop is going to claim all the credit for this... :roll:

Waiting for it. I got money on Allen West claiming credit for it.

gimmesometruth27

Newch91 wrote:

gimmesometruth27 wrote:

somehow the gop is going to claim all the credit for this... :roll:

Waiting for it. I got money on Allen West claiming credit for it.

my money is on boehner and cantor claiming it....

mitch mcconnell has an outside shot at it too...

:corn:

Newch91

gimmesometruth27 wrote:

Newch91 wrote:

gimmesometruth27 wrote:

somehow the gop is going to claim all the credit for this... :roll:

Waiting for it. I got money on Allen West claiming credit for it.

my money is on boehner and cantor claiming it....

mitch mcconnell has an outside shot at it too...

:corn:

All viable candidates for it.

Wobbie

Mitt will have it above 15,000

CH156378

FORWARD

whygohome

imalive wrote:

Mitt will have it above 15,000

Well, no matter who wins, I would hope it is above 15,000 by next year.

Newch91

Is today the highest it's ever been or did it hit 14,000 before?

whygohome

Newch91 wrote:

Is today the highest it's ever been or did it hit 14,000 before?

14,164.53-- October 9, 2007, before the crash

CH156378

viewtopic.php?f=13&t=165572&hilit=dow+drops+634

inlet13

CH156378 wrote:

http://forums.pearljam.com/viewtopic.php?f=13&t=165572&hilit=dow+drops+634

Multiply the gain in the Dow today (65 points) by 10.... by 10...

...that would be a +650 point upswing. That thread you brought up was in regards to a -650 one day.

The OP was also very early with their optimism, considering the NASDAQ and DOW gained .13% and .5% respectively today... neither gained 1% to close as they thought...

...basically, as Goldman said, "folks remember Europe isn't closed tomorrow".

http://www.zerohedge.com/news/goldman-e ... d-tomorrow

Enjoy your party tonight though.

CH156378

FORWARD

Newch91

whygohome wrote:

Newch91 wrote:

Is today the highest it's ever been or did it hit 14,000 before?

14,164.53-- October 9, 2007, before the crash

Thank you.

whygohome

inlet13 wrote:

CH156378 wrote:

http://forums.pearljam.com/viewtopic.php?f=13&t=165572&hilit=dow+drops+634

Multiply the gain in the Dow today (65 points) by 10.... by 10...

...that would be a +650 point upswing. That thread you brought up was in regards to a -650 one day.

The OP was also very early with their optimism, considering the NASDAQ and DOW gained .13% and .5% respectively today... neither gained 1% to close as they thought...

...basically, as Goldman said, "folks remember Europe isn't closed tomorrow".

http://www.zerohedge.com/news/goldman-e ... d-tomorrow

Enjoy your party tonight though.

I repeat: I wasn't being optimistic. That's not my nature, in general, and definitely not with Wall Street's good news being good news for Main Street.

The point of this thread was to show the foolishness of the socialism/Marxism claims, but, more specifically, to show that Corporate America is doing pretty well, CEO pay is through the roof, and that this system no longer represents the American public.

DriftingByTheStorm

You don't think stock market valuations might be representative of some sort of "bubble" formulated around the greatest period of inflation \ monetary debasement in United States History? (Money Supply Soars to All Time High)

I'm just saying.
The price of gold has nearly tripled in the past 5 years, and people are excited that the stock market has risen 35% ?

Realistically this is actually BAD news, because the stock markets are now bumping their heads along a TOP and traders are sitting there staring at their screens in disbelief going, "shit, i was long. but now ???" ... who in their right mind is going to go LONG at a valuation that is about to exceed the PRE-FINANCIAL-CRISIS highs?

Does ANYONE think we are in a better spot NOW than we were before the collapse in 2008?
If you say no ... then, look out below. :(