Another big drop?

It's actually Obama's birthday present :)

obama.jpg
 
US "safe haven dollar"
I don't quite understand the mechanism,but money doesn't flow into the USD ,in crisis, because everyone likes it :but because , when people and international companies stop buying and selling out of fear ,the money ends up in USD, it being the international currency of trade.
There is a great demand for USD then,and it drives USD up.

But this effect renders the USD a dollar safe haven anyway.

And in America
I.e.Quote
"Specifically, Mary Anne and Pamela Aden wrote, "We now recommend selling all of your U.S. and global stocks, as well as your energy and resource stocks (totaling 30% of your total portfolio), and keep the proceeds in U.S. dollars for now.""
http://blogs.marketwatch.com/thetell/2011/08/04/is-that-panic-in-the-air/
....................

As I understand it gold will go down in a sharemarket crash because big gambling companys ("investment companys") keep a little gold,
and have to sell it off during crashs to cover their bad bets on other things.
Quote "Even safe havens like gold and silver failed to escape selling pressure as traders opted to sell their profitable picks in order to meet margin calls on other holdings"
Gold did fall in 2008.

But I don't think the effect will be as great this time

Just saying
 
Old Codger said:
PMcat,


"I wounder if this is a "market crash" to push the next round of QE..."




I really do not think the US has any choice. SOMEONE has to buy all those new US Treasuries now on the market.

No overseas buyer is to be seen, the PRC will not and the Japanese cannot, and the US Department of Social Security and your pension Funds can only buy so much each month.

Q3 will take place and in fact is almost certainly taking place now, and it will be followed by QE4/5/6/7........


OC
Click to expand...
Thanks OC, my thoughts exactly, I think it would be easy to push that agenda when the market is down big.
Hopefully I'll be smart enough to "load the boat" before that announcement.
 
I think the Aussi sharemarket will be down bad today,
but the real crashs will occur on and after Monday in US markets.
This would send the AUD down.
Maybe gold up in AUD,down in USD.
Bought CGT yesterday,will sell this morning at a loss?
Just thinking.
 
Put up your hand if your happy that raising margin requirements has taken the volatility out of the market??
 
Peter said:
I think the Aussi sharemarket will be down bad today,
but the real crashs will occur on and after Monday in US markets.
This would send the AUD down.
Maybe gold up in AUD,down in USD.
Bought CGT yesterday,will sell this morning at a loss?
Just thinking.
Click to expand...
i would sell ASAP
 
If markets collapse so will silver because of its industrial use which far outweighs it's investment use. I don't believe this collapse is due to the margin increase rather due to the market collapse.
 
LovingtheSilver said:
Peter said:
I think the Aussi sharemarket will be down bad today,
but the real crashs will occur on and after Monday in US markets.
This would send the AUD down.
Maybe gold up in AUD,down in USD.
Bought CGT yesterday,will sell this morning at a loss?
Just thinking.
Click to expand...
i would sell ASAP
Click to expand...
Sold at only 4%loss.
All out now.

Shares like svl,ayn,ccu down about 15%
 
I wonder if the ASX will close below 4200 today :P

Good sale Peter, cut your losses early better than losing heaps in the long run.
 
Yea i'm curious how ASX will fair today as well, futures hit 4,099.5 before which is quite low. I suspect if it drops below 4000 then it could really take a dive.
 
Yep.I think the trick is to cut losses and hold gainings.
Should never be afraid of losing money if necessary.
 
I'm abit curious were all the money went last night, the AUD and gold have had a serious dive overnight and markets are all down hard but the USDX has only slightly moved up. Not sure were the money has moved to.
 
Nukz said:
I'm abit curious were all the money went last night, the AUD and gold have had a serious dive overnight and markets are all down hard but the USDX has only slightly moved up. Not sure were the money has moved to.
Click to expand...

The truth is out, there is no real money it's all credit and leverage ROFL.

$56 billion wiped off the market on ASX...wonder how much of that is super.

I hear CHF and JPY are still going strong despite the massive intervention by both governments, funds could've went there.
 
I'm actually cautiously buying today - I'm holding out on CGT because I'm hoping for a larger fall - was expecting much more than 4%. I think the big buy that soaked a lot up at 4.8 limited the fall a bit.

There are some other great stocks that are at bargain prices because people are being forced to sell everything to cover losses, causing panic which causes people to sell other stocks and so on. I wouldn't go in boots and all but some cautious buying is (IMHO) a good idea.

It always surprises me on this forum that people can go against the flow with PMs but are not so keen when it comes to other asset classes. As they say - buy straw hats in winter.

AND IT'S GETTING VERY COLD!!

malachii
 
fishball,

"$56 billion wiped off the market on ASX...wonder how much of that is super."


A high % I expect. Including the 'Future Fund'.


OC
 
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