Market down 450+ pts

[Cebby]

Re: Market down 450+ pts

That's it I'm going straight to congress tomorrow to make sure we get "Financial Planning" classes in high school!

Congress isn't in session the next 2 days. Jewish holidays.

[stewaat]

Re: Market down 450+ pts

Congress isn't in session the next 2 days. Jewish holidays.

I wasn't serious but thanks for the heads up just in case I got the gumption to head up there!

[Pappy Knuckles]

Re: Market down 450+ pts

Bottom line: greed

People trying to get their houses appraised for more so they could take out more and use their house as a credit card. Whatever happened to saving up for something and buying it when you had the resources to pay for it? This goes for moderately priced assets, not cars and such.

If people had any idea how to manage a budget and plan their financial decisions we would be in much better shape.

Why don't high schools teach this?

That's it I'm going straight to congress tomorrow to make sure we get "Financial Planning" classes in high school!

Our schools don't teach much that has any real world relevance.

[baumy300]

Re: Market down 450+ pts

Our schools don't teach much that has any real world relevance.

Isn't that the truth.

I remember our English classes from 9th through 12th grade required at least one whole semester of reading Shakespeare. It was a requirement.

However, we had kids graduating who couldn't spell decent, know the difference between "your" and "you're" or write a decent paper.

But boy could we sure understand early century language that no one cares about in todays world

[WazzuRC]

Re: Market down 450+ pts

So I'm a bit confused...why did the value of the dollar rise?

[Cebby]

Re: Market down 450+ pts

So I'm a bit confused...why did the value of the dollar rise?

We don't know, and given their epic **** ups, I'm willing to bet our government and private money men don't know.

Just accept that your money has more worth and we can now buy more gas.

[elicoleman]

Re: Market down 450+ pts

It's weird...

Most talking heads on TV are talking about how the bailout needs to happen yet the common people in this thread are saying the opposite.

[TheMatrix31]

Re: Market down 450+ pts

As with most things, no one knows a damn thing.

That's why you stay the hell out of it's way and let it work itself out.

[Cebby]

Re: Market down 450+ pts

It's weird...

Most talking heads on TV are talking about how the bailout needs to happen yet the common people in this thread are saying the opposite.

The only difference between us and the TV talking heads are that we don't have thousands of idiots listen to us when we pull things out of our fannies.

If the CNN people knew what they were doing, they wouldn't be on CNN.

[stewaat]

Re: Market down 450+ pts

Dollar went up because most were expected $700B to be printed out of thin air.

More dollars out there = lower value of the dollar

That's why some people are investing in gold right now. It's a limited resource...if you could just produce gold it wouldn't be nearly as valuable.

[Moses Shuttlesworth]

Re: Market down 450+ pts

This is what my bro (BTB) said as to why the dollar is up:

the bailout would be a mass expenditure by the government therefore injecting the market with dollars and basically causing inflation, which devalues the dollar. the market assumed the bailout would pass so that was taken into account in the dollar value, and now that its not being passed the dollar is worth more than it would have been

[Moses Shuttlesworth]

Re: Market down 450+ pts

he also said the bailout needed to happen and now its going to be a miracle if there isnt a huge recession

[stewaat]

Re: Market down 450+ pts

he also said the bailout needed to happen and now its going to be a miracle if there isnt a huge recession

"The bailout" is too broad a term though. That's the problem right now, the definition of "the bailout" isn't exactly working for both sides of the house.

I just hope the credit markets don't freeze up. Right now it seems like there is a real need for somebody to step in and get the illiquid assets of the banks' hands. However who knows how serious this threat is? We don't know everything I'm sure of that.

They're talking about companies not being able to deliver pay checks...that would be a mess.

I can just think of the simpsons episode where Bart gets paid in hair haha.

[Cebby]

Re: Market down 450+ pts

I'm not sure a lack of credit would really be a bad thing. It did get us into this mess.

[BTB]

Re: Market down 450+ pts

My point is that, in a worst case scenario where all these mortgages are worth NOTHING (which is very unlikely), this is what we are looking at under the plan:

700,000,000,000/300,000,000 (700b/US population) = about 2000 dollars per person. I'm sure they could figure out a way to make the wealthier people pay more of that.

If we get NO money back from this, then each person in the US pays 2000 bucks to save our economy. That is very unlikely to happen. Merril Lynch sold some of their MBS about a week and a half ago for 22 cents on the dollar, and that is at the absolute worst possible time to sell. There is a very very good chance that at some point they will go for 80 cents on the dollar, and theres even a possibility that the tax payer comes out ahead on this plan.