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Hang on to your butts people...

GTaudiophile

Lifer
Oct 24, 2000
29,773
11
81
At 9:30 we're doing to nose dive.

Euro climbed against the Dollar last night to 1.58.

I am now in contact with a German bank and am getting information on the opening/funds transfer process. I will report back soon.
 

MadRat

Lifer
Oct 14, 1999
11,607
3
76
Don't forget to pay the taxes on the earnings. My great, great, great grandkids will thank you for your wisdom.
 

GTaudiophile

Lifer
Oct 24, 2000
29,773
11
81
Originally posted by: MadRat
Don't forget to pay the taxes on the earnings. My great, great, great grandkids will thank you for your wisdom.
You mean pay the taxes on interest earned abroad? That is indeed the law.
 

palehorse

Lifer
Dec 21, 2005
11,547
0
76
Originally posted by: GTaudiophile
At 9:30 we're doing to nose dive.

Euro climbed against the Dollar last night to 1.58.

I am now in contact with a German bank and am getting information on the opening/funds transfer process. I will report back soon.
hey brother, would you mind explaining that in laymen's terms to those of us who dont have a clue about international finance?
 

MadRat

Lifer
Oct 14, 1999
11,607
3
76
Originally posted by: palehorse74
hey brother, would you mind explaining that in laymen's terms to those of us who dont have a clue about international finance?
An 8 cent swing overnight - otherwise an instant 6% nosedive in value.

 

Thump553

Lifer
Jun 2, 2000
11,845
1,167
126
I suspect it is going to be a very good day to be buying in the market if you have the stomach for it. Our economy is very diverse, and companies that are not at all affected by the finance sector's crash, and in fact are doing great in exports because of the cheap dollar, are also going to be driven down.
 

StageLeft

No Lifer
Sep 29, 2000
70,214
2
0
Originally posted by: MadRat
Originally posted by: palehorse74
hey brother, would you mind explaining that in laymen's terms to those of us who dont have a clue about international finance?
An 8 cent swing overnight - otherwise an instant 6% nosedive in value.
8 cent, huh? I recall the Euro at around 1.56 or so on friday, so it's not been too severe. Certainly it won't be opening well, but the important thing is how it finishes.

GTAudiophile's problem is he has money. I would advise he spend it on hard, imported goods like cars or guns or something (guns better when we reach end times and one has to fend for oneself with guns). If he was indebted heavily like I am, he'd not be so worried about all of this. Whopee!

When we're being paid in wheel barrows, paying my house off will be easy. I'll just ask my foreign parents for a tiny gift and the big exchange rate will sort me out!
 

StageLeft

No Lifer
Sep 29, 2000
70,214
2
0
Originally posted by: Thump553
I suspect it is going to be a very good day to be buying in the market if you have the stomach for it. Our economy is very diverse, and companies that are not at all affected by the finance sector's crash, and in fact are doing great in exports because of the cheap dollar, are also going to be driven down.
Buy Beretta and other publically traded arms manufacturers. When end times approach, people will see it and manufacturing of these companies will go up before the great lights come and there are few of us left.

 

palehorse

Lifer
Dec 21, 2005
11,547
0
76
Originally posted by: MadRat
Originally posted by: palehorse74
hey brother, would you mind explaining that in laymen's terms to those of us who dont have a clue about international finance?
An 8 cent swing overnight - otherwise an instant 6% nosedive in value.
gee, that explains everything... :confused:

Is the end of the world happening today? Black Monday perhaps? The Greater Depression?

Seriously, wtf does that mean to me? As someone who is NOT involved in moving money around, at the moment, what does this mean? Anything?
 

K1052

Lifer
Aug 21, 2003
36,323
10,142
136
Originally posted by: palehorse74
Originally posted by: MadRat
Originally posted by: palehorse74
hey brother, would you mind explaining that in laymen's terms to those of us who dont have a clue about international finance?
An 8 cent swing overnight - otherwise an instant 6% nosedive in value.
gee, that explains everything... :confused:

Is the end of the world happening today? Black Monday perhaps? The Greater Depression?

Seriously, wtf does that mean to me? As someone who is NOT involved in moving money around, at the moment, what does this mean? Anything?
Nothing really. The markets are going to take a hit today with the currency shift and the Bear Stearns sale but we're not talking the end of times like GT is getting ready for.

Panic activity like his makes a not great situation worse.
 

palehorse

Lifer
Dec 21, 2005
11,547
0
76
Originally posted by: K1052
Originally posted by: palehorse74
Originally posted by: MadRat
Originally posted by: palehorse74
hey brother, would you mind explaining that in laymen's terms to those of us who dont have a clue about international finance?
An 8 cent swing overnight - otherwise an instant 6% nosedive in value.
gee, that explains everything... :confused:

Is the end of the world happening today? Black Monday perhaps? The Greater Depression?

Seriously, wtf does that mean to me? As someone who is NOT involved in moving money around, at the moment, what does this mean? Anything?
Nothing really. The markets are going to take a hit today with the currency shift and the Bear Stearns sale but we're not talking the end of times like GT is getting ready for.

Panic activity like his makes a not great situation worse.
I wish you finance gurus would one day agree on something... just once! lol...

However, being the eternal optimist that I am, I will go with your version and sleep well tonight...
 

RightIsWrong

Diamond Member
Apr 29, 2005
5,650
0
0
Originally posted by: shinerburke
Overreact much?
I don't know that they are. The Fed is already making statements about loans to the financial sector (again) and Bush is about to speak in an impromptu (never good for him and worse for us) press event here in a few.
 

heyheybooboo

Diamond Member
Jun 29, 2007
6,289
0
0
Originally posted by: palehorse74
Originally posted by: K1052
Originally posted by: palehorse74
Originally posted by: MadRat
Originally posted by: palehorse74
hey brother, would you mind explaining that in laymen's terms to those of us who dont have a clue about international finance?
An 8 cent swing overnight - otherwise an instant 6% nosedive in value.
gee, that explains everything... :confused:

Is the end of the world happening today? Black Monday perhaps? The Greater Depression?

Seriously, wtf does that mean to me? As someone who is NOT involved in moving money around, at the moment, what does this mean? Anything?
Nothing really. The markets are going to take a hit today with the currency shift and the Bear Stearns sale but we're not talking the end of times like GT is getting ready for.

Panic activity like his makes a not great situation worse.
I wish you finance gurus would one day agree on something... just once! lol...

However, being the eternal optimist that I am, I will go with your version and sleep well tonight...
Feel free to sleep well but consider ...

Capital markets require 'settlements'. When there is a drop in value in underlying securities a financial entity is obligated to 'pay up'. When a financial entity (regardless of 'assets') does not have the 'liquidity' (cash & acceptable securities) to settle their account(s), they must seek some type of credit backing.

The Federal Reserve (and central banks around the world) have been pumping cash into banks since last August. Without going into a deep explanation, $100s of billions is being extended in hopes of injecting 'liquidity' - hoping the banks would extend credit to those financial entities currently in a lurch.

There is a big problem - - - - Banks have become reluctant to take the risks in extending credit.

There is an over extension of credit through out the system - from John Doe on Main Street to John Dough on Wall Street.

Just like a bank will consider extending credit to you based upon your assets and ability to pay, they did the same with Bear Stearns. It seems that banks were not happy with what they saw when they looked at Bear Stearns assets and would not extend credit so BS could settle their accounts.

So with a Federal promise of $30 billion in backing (not real sure how they are going to do that) J P Morgan scooped-up BS for pennies on the dollar. Bear Stearns has gone from a company worth $160 billion a year ago to one worth $270 million today.

JP Morgan (best I can tell) is paying around 8 cents on the dollar for Bear Stearns.

This is much better than Bank of America - who paid around 25 cents on the dollar for Countrywide. HA! Suckers ...

Lehman Brothers seems to be the odds-on favorite to implode and be sucked-up for pennies on the dollar. The vultures seem to be circling Morgan Stanley and Goldman Sachs as well.

You can make money on this - I'm sure there are a huge range of derivatives betting every way you could imagine. Profit from peril - the New American Way.
 

blackangst1

Lifer
Feb 23, 2005
20,556
735
126
Holy shit DJ down 1/2 % and NASDAQ down 1 1/3% so far and the fed has already annouced 1/4 point sut.

We're so fucked....
 

miketheidiot

Lifer
Sep 3, 2004
11,072
1
0
Originally posted by: LegendKiller
Originally posted by: blackangst1
Holy shit DJ down 1/2 % and NASDAQ down 1 1/3% so far and the fed has already annouced 1/4 point sut.

We're so fucked....
The market is fine
my sarcasm meter was going off a bit there actually
 

blackangst1

Lifer
Feb 23, 2005
20,556
735
126
Originally posted by: LegendKiller
Originally posted by: blackangst1
Holy shit DJ down 1/2 % and NASDAQ down 1 1/3% so far and the fed has already annouced 1/4 point sut.

We're so fucked....
The market is fine
check your batteries sir :D
 

Dissipate

Diamond Member
Jan 17, 2004
6,829
0
0
Originally posted by: LegendKiller
Originally posted by: blackangst1
Holy shit DJ down 1/2 % and NASDAQ down 1 1/3% so far and the fed has already annouced 1/4 point sut.

We're so fucked....
The market is fine
The market is fine for the shorts...
 

LegendKiller

Lifer
Mar 5, 2001
18,261
68
86
Originally posted by: Dissipate
Originally posted by: LegendKiller
Originally posted by: blackangst1
Holy shit DJ down 1/2 % and NASDAQ down 1 1/3% so far and the fed has already annouced 1/4 point sut.

We're so fucked....
The market is fine
The market is fine for the shorts...
Ohhh gawd no, it's down a whole 150 right now.
 

Dissipate

Diamond Member
Jan 17, 2004
6,829
0
0
Originally posted by: LegendKiller
Originally posted by: Dissipate
Originally posted by: LegendKiller
Originally posted by: blackangst1
Holy shit DJ down 1/2 % and NASDAQ down 1 1/3% so far and the fed has already annouced 1/4 point sut.

We're so fucked....
The market is fine
The market is fine for the shorts...
Ohhh gawd no, it's down a whole 150 right now.
If you had shorted Lehman Brothers you would be up by about 30% this morning. How did Mr. All Knowing Investment Banker miss this opportunity?
 

LegendKiller

Lifer
Mar 5, 2001
18,261
68
86
Originally posted by: Dissipate
Originally posted by: LegendKiller
Originally posted by: Dissipate
Originally posted by: LegendKiller
Originally posted by: blackangst1
Holy shit DJ down 1/2 % and NASDAQ down 1 1/3% so far and the fed has already annouced 1/4 point sut.

We're so fucked....
The market is fine
The market is fine for the shorts...
Ohhh gawd no, it's down a whole 150 right now.
If you had shorted Lehman Brothers you would be up by about 30% this morning. How did Mr. All Knowing Investment Banker miss this opportunity?
Who said I did? I don't discuss my investment strategies in public to a large extent.
 

Dissipate

Diamond Member
Jan 17, 2004
6,829
0
0
Originally posted by: LegendKiller

Who said I did? I don't discuss my investment strategies in public to a large extent.
I don't think you took advantage of it because you don't know what is really going on. You don't know much more than the rest of us about what is going to happen.
 

LegendKiller

Lifer
Mar 5, 2001
18,261
68
86
Originally posted by: Dissipate
Originally posted by: LegendKiller

Who said I did? I don't discuss my investment strategies in public to a large extent.
I don't think you took advantage of it because you don't know what is really going on. You don't know much more than the rest of us about what is going to happen.
OK sparky, whatever makes you feel better.

Not to mention, I can't trade on a lot of this stuff, bank policies. I have to fill out monthly holding sheets and they are pretty strict on trades. I more or less knew about BSC problems Wed morning.

One thing I did buy was DGP when it opened, that's made me some money.

As far as what'll hit next? I know I am going into C at 15, as I have said all along. I have been shorting that all of the way down and will flip at 15, or after Q1 earnings, whichever happens second.

I think WM is not a buy and that a lot of people are overlooking obvious problems. Even though the Fed opened up the liquidity facilities to the broker/dealers, I am still very bearish on them. If you don't have significant deposits and can't draw them in quickly, then you might be stuck a bit. Money center banks are going to do better in this environment than pure IBs, especially if the IB went into a lot of these CDO manager positions, levered up, but don't have significant capital bases, as regulators require.

However, even with strong Tier I capital bases (Tier II and III being weak at the moment, especially with liquidity lines that can be canceled quickly), it isn't enough at this point.

What do I think this market needs to recover? Transparency. They need to go open-kimono.
 

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