People getting excited over the DOW closing above 15,000

[QuickZ06]

What gives?

Also heard this and was surprised to read it
All the Fed reserve money being pumped into it will eventually stop and it will crash hard then I heard this
Ummmm actually.. The banks have all paid their share back.. as did the majority of others.. But let's not let facts get into the way..

Umm what facts is this person even talking about?

[ZENemy]

The bigger they are, the harder they fall.

[tsai3904]

Umm what facts is this person even talking about?

He's most likely talking about TARP funds and thinks thats how the Fed pumps money into the economy.

[QuickZ06]

He's most likely talking about TARP funds and thinks thats how the Fed pumps money into the economy.

That is what I was thinking, but I cannot find anything on what he was talking about. He is a at home investor; has SEP account, trades financials and REIT's plus some other stuff.

[AGRP]

The stock market is definitely an accurate reflection of a healthy economy. Just look at Zimbabwe:

RPT-Zimbabwe lures foreign investors, bourse scales record peak (http://www.reuters.com/article/2013/05/03/zimbabwe-investment-idUSL6N0DK3AE20130503?feedType=RSS&virtualBrandChannel=11563)

[Zippyjuan]

People just like nice round numbers. 14,756 DOW just isn't as sexy. That is why they are excited over DOW 15,000.

As for bailouts mostly being paid back- this site has been tracking it. As of May 3rd, 2013:
http://projects.propublica.org/bailout/



Below is a complete breakdown of the latest numbers in our bailout database. We’re tracking every dollar and every recipient for both the broader $700 billion TARP bill and the separate bailout of Fannie Mae and Freddie Mac.

The State of the Bailout

OUTFLOWS: $606 billion This includes money that has actually been spent, invested, or loaned.


INFLOWS: $480 billion Money returned and paid to Treasury as interest, dividends, fees or to repurchase their stock warrants.



Last update: May 3, 2013

Altogether, accounting for both the TARP and the Fannie and Freddie bailout, $606B has gone out the door—invested, loaned, or paid out—while $364B has been returned.

The Treasury has been earning a return on most of the money invested or loaned. So far, it has earned $116B. When those revenues are taken into account, $126B is the net still outstanding as of May 3, 2013.



The TARP
$475B Total Allocation

Disbursed $418B

Returned $364B

Revenue $50.5B

[Dr.3D]

It's sort of like getting excited about seeing a cake in the oven that is above the rim, only to have it fall after the oven door was opened.

[MoneyWhereMyMouthIs2]

What gives?


They don't understand inflation?

[jclay2]

Although I am an advocate of long term holding and dollar cost averaging (like over multiple decades), I can't help but think that this is going to end badly. The whole market is all priced off the 10 year treasury which is highly highly manipulated at an incredible 1.77%.

[dannno]

Buy low sell high.

[Michigan11]

Most people gambling in the stock market, who have to claim and pay taxes on any winnings would do much better learning how to play blackjack, not counting cards, just learning the cycles of the cards. Your winnings are only taxed if you claim them, and the house only has a slightly better advantage than you, if you find the right casino with the right table.

1) Only play at tables with hand shuffled 6 decks, with no mid-shoot entry

2) Learn to trust your intuition and know when to fold em

3) Learn the cycle of the cards (it goes around like a hand on a clock. at midnight for example is when the dealer wins, at 6 you win.)

[satchelmcqueen]

i remember about 15 yrs ago it hit 12k. people were flipping out over it.

[BAllen]

You watch. Next step will be to eliminate the debt................just wipe it off the books as being paid in full.

[Anti Federalist]

The stock market is definitely an accurate reflection of a healthy economy. Just look at Zimbabwe:

RPT-Zimbabwe lures foreign investors, bourse scales record peak (http://www.reuters.com/article/2013/05/03/zimbabwe-investment-idUSL6N0DK3AE20130503?feedType=RSS&virtualBrandChannel=11563)

They are also all trillionaires...

[Anti Federalist]

You watch. Next step will be to eliminate the debt................just wipe it off the books as being paid in full.

Yup...been the plan all along...

"Yeah we paid you...paid you in worthless scrip, but, we paid you."

[CPUd]

All the Fed reserve money being pumped into it will eventually stop and it will crash hard

They could also be talking about the last QE with the Fed buying mortgage-backed securities. Something like $75 Billion a month now.

[DamianTV]

Why do we always have to explain this?

Wall St is NOT an accurate indicator of the strength of our economy, in fact, it is the polar opposite. Had this been MAIN STREET Rallies over Job Growth, that would be a different story.

Look at it this way, Wall St profits at the expense of Main St. So read record number profits for those on Wall St, and there will be some poor person with that much less because someone has to pay for it.

[KrokHead]

A similar stunt was happening last year. "HEER CUMZ THE REKUVERY!"

When I see college graduates get jobs and people not claw on to a mediocre job with their life because it's that crappy job or the welfare line I'll reconsider my stance on the economy.