U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Economics
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 03-11-2017, 01:29 PM
 
Location: Silicon Valley
2,744 posts, read 1,207,954 times
Reputation: 5039

Advertisements

From today's WSJ is an article citing how there has been a record level of new money in ETFs/mutual funds and the majority of the money has been retail clients.

Bullish Wall Street Writers are at 63.1%, the highest since 1987. The S&P is at 22 times prior year earnings vs a 10 year average of 16.

They also give some anecdotes of retirees who know the market will go up and down, but with few other options, there's no place to put money.

Retirees would likely love to have fixed income investments, but until reflation happens, they're in stocks. The underlying economy is in decent shape, so I'd say the party ends when fixed income becomes attractive enough to draw money away from stocks. How high can the Fed get the interest rate before the economy starts to sputter? Nobody knows that.
Reply With Quote Quick reply to this message

 
Old 03-11-2017, 02:26 PM
 
Location: The Triad (NC)
26,831 posts, read 57,830,396 times
Reputation: 29215
Quote:
Originally Posted by artillery77 View Post
I'd say the party ends when fixed income becomes attractive enough to draw money away from stocks.
Retirees would likely love to have fixed income investments, but until reflation happens, they're in stocks.

How high ...? Nobody knows that.
5year CD's at 4%

Last edited by MrRational; 03-11-2017 at 02:55 PM..
Reply With Quote Quick reply to this message
 
Old 03-11-2017, 02:34 PM
 
719 posts, read 398,145 times
Reputation: 1079
Quote:
Originally Posted by rabaman View Post
People have been anticipating the end for years and missing out on all sorts of gains.

I've given up worrying about market cycles and instead I invest what makes sense given my financial situation.
The problem is that most of you mix economic activity with stock market performance and even with manipulated real estate market.

There is NO causal connection between economic activity, a company's fundamentals and the stock behavior. There is an IMPLIED connection only. The stock market is its own beast, driven by emotions, fears, BIG MONEY MANIPULATING. The stock is NOT the shadow of THE ECONOMIC RESULTS.

Just becuase stock market has been going up and real estate market has been purposely inflated it doesn't mean our economy is growing organically, that we had some real organic growth. We didn't.

You have to study the stock as an independent animal, with its own rules and life.
Just because many companies are meeting dumbed down RESULTS is not going to turn our economy around. Our economy has been DEAD since 2001!!!!! The sooner you all realize this, the better for you.

What the FED did with ZIRP was to allow a LOT of companies to continue existing even though they SHOULD NOT have been allowed to survive according to the main premise of capitalism -- which says falling fruit is a part of the plan. I hope there are still few Capitalists left on this forum that understand very well why I'm saying here.

SOCIALISM FOR THE CAPITALISTS. But we will see if they can adapt to a SHRINKING MARKET/RISING RATE scenario that is coming now.
Reply With Quote Quick reply to this message
 
Old 03-11-2017, 02:44 PM
 
64,510 posts, read 66,075,955 times
Reputation: 42965
your missing the point as well .

i don't eat if the economy does well and markets don't . quite frankly generating my income to live on is what i care most about . if i don't eat everything else in the economy is a moot point .

the same as those with no investments may have a vested interest in a certain outcome , those of us retired or looking to retire one day have those markets you hate right at the top of their priority list
Reply With Quote Quick reply to this message
 
Old 03-11-2017, 03:34 PM
 
Location: Virginia
26 posts, read 11,760 times
Reputation: 30
Quote:
Originally Posted by C2BP View Post
There is NO causal connection between economic activity, a company's fundamentals and the stock behavior. There is an IMPLIED connection only. The stock market is its own beast, driven by emotions, fears, BIG MONEY MANIPULATING. The stock is NOT the shadow of THE ECONOMIC RESULTS.

Just becuase stock market has been going up and real estate market has been purposely inflated it doesn't mean our economy is growing organically, that we had some real organic growth. We didn't.

You have to study the stock as an independent animal, with its own rules and life.
Just because many companies are meeting dumbed down RESULTS is not going to turn our economy around. Our economy has been DEAD since 2001!!!!! The sooner you all realize this, the better for you.
I'm not sure this matters though. Our investments and wealth are tied to market performance, not the underlying economy. Now if we're talking employment and wage growth, that's a different story.

The nature of the economy is changing and will continue to do so as technology and automation take over. It's likely that traditional measures will fall out of favor as new measures arise to better reflect the changing role of people in the workforce.
Reply With Quote Quick reply to this message
 
Old 03-11-2017, 03:46 PM
 
Location: The Triad (NC)
26,831 posts, read 57,830,396 times
Reputation: 29215
Quote:
Originally Posted by rabaman View Post
It's likely that traditional measures will fall out of favor as new measures arise
to better reflect the changing role of people in the workforce.
The only real change in the role of people is in the "quality" aspect.

The sad reality is that we just do not have space for those unable to be productive.
If we can find a way to minimize the raw number of the affected population....
Reply With Quote Quick reply to this message
 
Old 03-11-2017, 04:10 PM
 
25,800 posts, read 49,685,561 times
Reputation: 19243
I'm faced with a mandatory 401k roll out/over and not sure what is best...

Seems the 401k companies we get keep terminating the plans... this time we have 60 days and since we are being acquired by a larger 100,000 employee firm we have the option of rolling into a Fidelity 403B...

I'm guessing Fidelity will be around???

One plan we had paid a guaranteed 3% no matter what and the only way to eliminate that commitment was to kill that plan a few years back...

The new Fidelity person going forward didn't know what the Fidelity Cash Account paid... we also have 30 choices with many target date... how can he be the face of Fidelity here to explain the plan and not have a clue what the cash pays?

It would be great to know how long the good times will last.

As Mathjak knows I am a fish out of water when it comes to brokerage type investments.
Reply With Quote Quick reply to this message
 
Old 03-11-2017, 05:33 PM
 
Location: Omaha, Nebraska
6,297 posts, read 3,474,966 times
Reputation: 14916
Quote:
Originally Posted by Ultrarunner View Post
The new Fidelity person going forward didn't know what the Fidelity Cash Account paid... we also have 30 choices with many target date...
It's a cash account, so it pays next to nothing. That said, there's nothing wrong with rolling your 401k assets into the Fidelity Cash Account in your new company's 403b and leaving it there for a while while you figure out which of those other 30 fund choices are right for you.

If you post a list of the fund choices, I'm sure you'll get some suggestions regarding which ones you might want to invest in.
Reply With Quote Quick reply to this message
 
Old 03-11-2017, 06:20 PM
 
Location: AZ
589 posts, read 303,945 times
Reputation: 2406
Ha! I have good friends whose party ended in 2008 and have been against the wall since. One couple lost everything thanks to a "financial advisor". They were suckered in. I also know people, mostly men in their 50s who were laid off and have been unable to find anything near what they were earning back in 2007. Some party.
Reply With Quote Quick reply to this message
 
Old 03-11-2017, 06:30 PM
 
Location: TX
3,899 posts, read 4,511,167 times
Reputation: 4273
The bubble will burst, of course. It's inevitable.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Economics
Similar Threads
Follow City-Data.com founder on our Forum or

All times are GMT -6.

2005-2018, Advameg, Inc.

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top