Friday, February 9, 2018

CNBC: Dow plummets 1032 points, now down 10% from record; S&P 500 drops 3.7% to new low for week

Mod: There used to be this guy that would show up on this site who, no matter how badly it would be going nationally that day, would talk about how wonderful things are with his investments. We haven't seen him much lately. So here's my question. When do those who write articles like the one below shift from talking about a "correction" to that of a full on red eyed bull goose run amuck panic? We have got to be close to that.

Dow plummets 1032 points, now down 10% from record; S&P 500 drops 3.7% to new low for week (CNBC link): Stocks fell sharply on Thursday as strong earnings and economic data were not enough to quell jitters on Wall Street about higher interest rates.

The Dow Jones industrial average closed 1,032.89 points lower at 23,860.46, entering correction territory. The 30-stock index also closed at its lowest level since Nov. 28. The Dow is also on track to post its biggest weekly decline since October 2008.

"This whole correction is really about rates. It's really about inflation creeping up. It's really about people thinking the Fed is either behind the curve or actually has to be more aggressive," Stephanie Link, global asset management managing director at TIAA, told CNBC's "Closing Bell."

"That fear, that unknown is really what's driving a lot of the anxiety," Link said.

This is the third drop for the Dow greater than 500 points in the last five days. Despite the decline Thursday, the average is still a ways from its low for the week hit on Tuesday of 23,778.74. American Express and Intel were the worst-performing stocks in the index, sliding more than 5.4 percent. J.P. Morgan Chase, meanwhile, was down by more than 4 percent.

The S&P 500 pulled back 3.75 percent to 2,581, reaching a new low for the week. The index also broke below its 100-day moving average and closed under 2,600, two important thresholds. For the S&P 500, it is its third drop of greater than 2 percent in the last five days.

The Nasdaq composite fell 3.9 percent to close at 6,777.16 as Facebook, Amazon and Microsoft all fell at least 4.5 percent.

"The market is focused on higher interest rates right now," said Kate Warne, investment strategist at Edward Jones. "The underlying fundamentals are going to drive stocks higher, but I think the path higher will be more volatile than it's been in the past few years."

The benchmark 10-year U.S. note yield rose to 2.88 percent before slipping to 2.848 percent Thursday, holding around multi-year highs. The initial move higher follows the release of strong jobless claims data. Weekly jobless claims hit a 45-year low, totaling 221,000. They fell from 230,000 in the previous week. 

Mod: Remember this. If things continue to worsen on the stock market, you can always shift your investments over to lottery tickets.

Military Times poll: Majority oppose Trump's military parade (The Hill link): An informal Military Times poll found that a vast majority of the publication’s readers oppose the idea of a military parade in Washington, D.C.

The publication, an independent news source that covers the armed forces for service members and their families, published the results of its poll, which was launched on its website Wednesday. The poll asked readers “should there be a parade showing troops and military equipment in Washington, D.C.?”

Eighty-nine percent of Military Times readers responded by answering “No, it’s a waste of money and troops are too busy.” Just 11 percent responded by answering “Yes, it’s a great opportunity to show off U.S. military might.” The publication noted that more than 51,000 readers had voted in the poll as of Thursday afternoon.

Mod: 89%. Wow.

The Tattler goes pulp
If you pick up a copy of The Sierra Madre Weekly from any of their conveniently located news racks downtown, you will notice that in the lower lefthand corner there is a section dedicated to The Sierra Madre Tattler. I now have a weekly opinion piece there. Quite happy about that. The column will be appearing weekly in the Pasadena Independent as well. It's a regular media blitz out there.

sierramadretattler.blogspot.com

46 comments:

  1. We should have a Parade for the Tattler's Weekly Opinion Piece. Would have more meaning to me.

    ReplyDelete
  2. Trump had his parade, but he didn't even know it: July 4, 2017. That parade (is small segmentations nationwide) is the equivalent to the Paris Bastile Day parade. Yes, we all know that for Trump to know this he would have to know history and alas that ain't happening anytime soon.

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    1. He had a parade on his Inauguration Day, but hardly anybody bothered to show up.

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    2. I hope there'll be more than one parade when Mueller gets done w him.

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    3. 45 had his parade. In Charlottesville with the khaki pants, tiki-torch crew.

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    4. We need a White House perp parade.

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  3. The SIeRrA mAdRe Weekly must be rather OnE sIDeD, HUH

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    Replies
    1. True. But then everything else is usually on the other.

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  4. Two words;
    Mutual Funds

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  5. The justification for adding a trillion dollars of government debt this year is that the tax cuts involved would stimulate the economy and make up the balance. This was almost immediately followed by a stock market crash caused by rising interest rates driven by the government borrowing a trillion dollars. Is this what America becoming great again was supposed to look like?

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  6. Congratz on the pulp written word contribution in the Pasadena Weekly.
    I have always enjoyed your finesse with the pen, at times I disagree with your opinions, but that makes the exchange of thought even more provoking.
    Post Script: the Market has only recorrected itself and the losses amount to the gains seen from over this last year. No big deal. This economy is growing and the market is showing growing pains. Still a very good time to buy and not sell off.

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  7. Of the Trumpians out there who still support the Nutcase in the White House, how can you justify a Russia/North Korea type parade costing how much? If that doesn't scare you, then POTUS might as well shoot someone on Fifth Avenue, and get away with it. He's done pretty much everything else.

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  8. Why hasn't there been an impeachment yet? Trump is not merely an immoral, thieving, dishonest pathlogical liar but he is also dangerous because of his dementia. He is a narcissist of the worse kind and believes the world revolves around him. He has bragged about having the nuclear button at his finger tips thus provoking that other maniac in North Korea, brags about his abuse of women and p..... grabbing and yet we continue to allow him to run the country! What is wrong with us?

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    1. I know! I ask the same question every day. It seems like we are living in an alternate zombie universe and people are not hearing and seeing what's going on. I actually hoped the stock market volatility this week would wake these people up, but his approval ratings continue to rise...

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  9. 84% of all stocks owned by Americans belong to the wealthiest 10% of households


    “For the vast majority of Americans, fluctuations in the stock market have relatively little effect on their wealth, or well-being, for that matter,” said Edward N. Wolff, an economist at New York University who recently published new research on the topic."

    https://www.nytimes.com/2018/02/08/business/economy/stocks-economy.html

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    Replies
    1. Hmm. So when the stock market goes down, is it class warfare or treason?

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  10. Totally off the subject,but I received a second library questionnaire yesterday in the mail a green colored card. It said on it it was my second chance and should fill it out if I failed to respond previously and destroy if I previously responded?? Odd

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    Replies
    1. I think the reasoning was if people were given a second chance they might be more likely to respond. I do know that you now have another couple weeks to get one of them in.

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  11. Trump now claims the stock market is rigged against him
    https://thinkprogress.org/trump-claims-stock-market-is-rigged-against-him-3cee051d4736/

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  12. Second library survey arrived. Green this time.

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  13. The biggest losers: The biggest companies in the world -- in both developed and emerging markets -- lost $5.2 trillion in market capitalization since recent market peaks at the end of January, according to S&P Dow Jones Indices estimates.
    http://money.cnn.com/2018/02/09/investing/stock-markets-biggest-losers/index.html

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  14. I laughed the other day when the market first crashes and the troll who usually boasts ‘my 401k is doing great MAGA’, meekly whined ‘it’s a great time to buy stocks’.

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  15. Send in both library cards, remember a tree gave up its life to make that survey possible.
    The survey group will just toss the redundant votes; kinda like city hall did with the residents 218 water metered votes. Every vote counts!

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    Replies
    1. I did the survey online.

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  16. The Rasmussen Reports daily Presidential Tracking Poll for Friday shows that 49% of Likely U.S. Voters approve of President Trump’s job performance. Fifty percent (50%) disapprove.

    The latest figures include 35% who Strongly Approve of the way the president is performing and 42% who Strongly Disapprove. This gives him a Presidential Approval Index rating of -7. (see trends).

    Since last week’s State of the Union address, Trump’s approval ratings have been running slightly ahead of where Barack Obama was at this stage of his presidency.

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    Replies
    1. Real Clear Politics, which averages all polls on a daily basis, has Trump at 41% approval, 54% disapproval. Be interesting to see how the stock market crash affects the Tangerine Nightmare's numbers since that had been up until now just about his only positive achievement.

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    2. there is no crash. the dow is down 5% this week. so what

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  17. 8:58am. I laugh every time a Democratic says "we're here for you", now we must raise taxes.
    With the "crumbs" that we are getting back from the tax cuts it would be wise to reinvest.

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    Replies
    1. Dow is down another 350 points right now. You reinvest.

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  18. Did ya laugh when you found out the latest Republican Wars in the Middle East cost $4.8 trillion to find ‘weapons of mass destruction’ that never existed?

    I’m laughing again because the joke’s on you. Trump’s laughing at you too.

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  19. According to polls, Trump is very popular with enlisted troops, especially Marines.
    This poll was an online poll and the trolls from DU (Democratic Underground) swarmed it.

    Trump is the greatest president in US history and will be overwhelmingly re-elected.

    You seem incapable of understanding when he is joking (like when he said failing to stand was treason) and every time you over react you look like an idiot (which is why Trump does it).

    You're being relentlessly trolled by a Galactic overlord level master at trolling (trump) and you fall for it every time.

    Now Trump will say he wanted a military parade to honor our military but the democrats didn't want to honor our military. They fall for it every time which is why Trump's election was such a shock for them.

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    Replies
    1. Our military is a professional force and being compellef to conduct a vanity parade for Cadet Bone Spurs is offensive. The money could be used in a far more effective and useful manner.

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    2. Honor the military? Since when have they become so insecure that they need yet another parade?

      You’re so brainwashed it’s laughable.

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    3. 11:08 - how is that Nunes Memo working out for you? Or have you already forgotten.

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    4. you are missing the point. Trump never really wanted a parade. it was a gambit to get his enemies to be perceived as anti-military by opposing the parade

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    5. All it did was remind people that Trump dodged the draft when it was his time to serve.

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    6. Did he become Cadet Bones Spurs after his parents sent him to military school? Why did they send him to military school?

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  20. Congratulations Crawford. We are very happy that you'll have a wider audience.

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  21. Great news Tattler!
    Sierra Madreans will have another chance at getting the facts straight.

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  22. Off topic, but it's the Tattler. The newest addition of the SM City Newsletter out of city hall once again does not have the current list of planning projects.
    That was a very helpful list that you could access every week, just to keep tabs on things.
    Now it's not a feature anymore. That's a loss for the residents.

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  23. Do the residents really care? No. No one attends city council meetings.
    The Dirts are working on Kersting Court now.
    Very little is unique to this village, the busy with personal scheduled residents that cant find time to attend city council meetings, have allowed this to take place.
    Same old, same old.

    ReplyDelete
    Replies
    1. The existing city council is doing such a good job in preservation that we haven't had to fill the chambers. It's a welcome state when representative government works.
      And when the issues heat up, as they did with the library, or water bill penalties, people show up.

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    2. When people are happy with their government, complacency sets in and that is the perfect time for developers and their property fund L.L.C investors to come out in full force.

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  24. Nunes says

    “There was no involvement in drafting the memo with the White House.”

    What does that nonsensical statement mean? That maga-guy is crafting his messages through google translate?

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  25. I remember "Pulp Fiction".

    ReplyDelete