US Dow Futures Down Over 600 Points.

Discussion in 'Stocks & Derivatives' started by ozcopper, Feb 24, 2020.

  1. sgbuyer

    sgbuyer Well-Known Member Silver Stacker

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    During SARS there was no shutdown for SARS as it didn’t spread asymptomatically, and was easily controlled since people with fever could be detected using infrared scanners. Covid-19 had no precedence, other than maybe the Spanish flu 100 years ago.

    Another difference between then and now is governments today are more corrupted and want to cover up instead of preventing the spread of the virus. Ironically, the China today is more transparent than the China of 2003.
     
    Last edited: Feb 27, 2020
  2. mmm....shiney!

    mmm....shiney! Well-Known Member Silver Stacker

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    Do a search for the parable of The Broken Window by Bastiat.
     
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  3. 66rounds

    66rounds Well-Known Member Silver Stacker

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    Interesting read. My statement wasn't so much that an economy affected by the virus would benefit, only that it would improve local chains of supply over international chains in the context of a nation that was itself free of infection
     
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  4. mmm....shiney!

    mmm....shiney! Well-Known Member Silver Stacker

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    I understood what you were saying.

    Bear in mind this improvement in the local chain of supply would come at a cost to both those that rely on the Chinese chain of supply for their business and the necessary reallocation of capital and resources in the market which is a cost burden and would result in higher production costs as the Chinese producers had a comparative advantage over other suppliers.

    Naturally the burden would fall upon the consumer eventually. :)
     
  5. 66rounds

    66rounds Well-Known Member Silver Stacker

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    Oh of course, consumers would have to pay the premium for local products. Would this not be offset by increased local jobs? Perhaps not entirely, but for the better in my opinion.
     
  6. mmm....shiney!

    mmm....shiney! Well-Known Member Silver Stacker

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    The end goal of production is consumption. And the function of productivity improvements is to drive the cost of production down so that consumers can meet more and more of their needs and desires.

    Providing jobs is not the end goal of production, for if it were, then we’d best be serviced building roads with spoons instead of machines and many of our needs and wants would go unfulfilled as much of our time would be engaged in menial tasks.
     
  7. 66rounds

    66rounds Well-Known Member Silver Stacker

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    You MMT worshippers are funny people, roads built by spoons! I wonder if they could build a rocket to the moon just using needle and thread. Hire all the housewives to stitch our way to Mars. That'll fix any recession. Take that Coronavirus!
     
  8. JOHNLGALT

    JOHNLGALT Well-Known Member

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    Speaking of price checks 66 you've seen this from Michael:

     
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  9. leo25

    leo25 Well-Known Member Silver Stacker

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    are we witnessing the biggest flash crash every! Dow down about 3500 points in 1 week. :D
     
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  10. Silver260

    Silver260 Well-Known Member Silver Stacker

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  11. mmm....shiney!

    mmm....shiney! Well-Known Member Silver Stacker

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    MMT worshipper? lol

    That's not MMT worshipper-think @66rounds, that's accepted economic theory regardless of whether you're an Austrian, Keynesian, Monetarist or MMT "worshipper". On the one hand you've got the free-market, capitalist view that productivity improvements drive gains for consumers and lift the living standards of all versus the socialist "Bernie Sanders" style of economic-fallacy that consider jobs to be the most important measure of market performance. It follows from that that the simplest way to create more jobs (in the mind of a socialist and let's not forget the national-socialists here as well) therefore is to reject technology, reject the profit incentive, do away with price signaling and the efficient use of scarce resources and just put your citizens in chain-gangs with shovels and scythes.
     
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  12. Silverling

    Silverling Well-Known Member Silver Stacker

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    When to get back in?

    I use to be a bit gung ho when I was younger, use to buy the dips but I was checked by quite a few people who said "never try to catch a falling knife". Then another share investor said "just wait for it to have a couple of positive sessions first". This I took on board because what is the point of buying today when tomorrow might well be another down day. So this week I bought nothing because it just kept dropping everyday.

    The XJO has fallen through the 2 support lines of 6895 and 6775......and still falling.

    Looking for opinions on when to start buying back in?
     
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  13. 66rounds

    66rounds Well-Known Member Silver Stacker

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    I agree with you on all points. The sad thing is you will never have a true free market unless it's under the supervision of a benevolent dictator.
     
  14. 66rounds

    66rounds Well-Known Member Silver Stacker

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    Stocks melting, but metals have stabilized.
     
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  15. Lucenzo

    Lucenzo Member Silver Stacker

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    Is all this money moving to US treasury in the hope they will cut rates and/or print more, another Q/E, Or are we too far past that to be an effective saviour this time around? There seems to be a lot of talk from CEO’s and fund managers about it, as if they almost expect it and feel somewhat in titled too be bailed out by it.
     
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  16. Lucenzo

    Lucenzo Member Silver Stacker

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    It took a little while last time around before the pm’s really found there feet didn’t it?
     
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  17. STKR

    STKR Well-Known Member Silver Stacker

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    It's dependant on your individual goals. I have personally surpassed my stacking goals for silver and won't feel the NEED to buy unless it drops below $15USD. We are only $2USD an Oz above the average All-In-Sustaining-Costs of the primary silver miners... Silver is far from being overvalued at the current price point IMO. If you're only buying physical and spending less than $5,000 - I wouldn't give it too much thought. But I also wouldn't buy silver at this price under the illusion of short term gains. Just Stack and enjoy the comfort of knowing you have stored wealth outside of the seemingly vulnerable financial system.
     
  18. slavaja

    slavaja Well-Known Member Silver Stacker

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    Dow Jones for Friday

    Screenshot_20200228-092514.png
     
    Last edited: Feb 27, 2020
  19. Lucenzo

    Lucenzo Member Silver Stacker

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    Shaping up to be a bad day for the ASX also based on the overnight trading, down 2.5%
     
  20. STKR

    STKR Well-Known Member Silver Stacker

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