***Official*** 2008 Stock Market Thread

[ivan2]

wow fannie and freddie are hitting 2 bucks. the put its temping...

 

[Azurik]

Well, it's no surprise GE warned ahead of their earnings at this point. The surprising thing is it was down 5% today and just reversed course to join in on the bail-out rally.

EDIT: I just sold 300 shares of GE to buy 500 additional shares of RMBS.

My view of GE hasn't changed really. I'm still in GE long-term - have 700 shares. They'll weather this storm. If they don't... well, I guess I have bigger things to worry about then huh?

I now hold 4,300 shares of RMBS plus some LEAPS. You can call me crazy, but I'm putting my money where my mouth is.

 

[richardycc]

wow, what a ride with FNM and FRE...I have a stinking feeling the Govt might merge them together as part of the bailout plan, no need to have 2 companies doing the same things, and strangely, both stocks are behavoring the same. Hope I am wrong, as I own both stocks.

 

[ivan2]

should've gone ahead with the puts, i chickened out, damn it.

 

[Ricochet]

Originally posted by: Azurik
Well, it's no surprise GE warned ahead of their earnings at this point. The surprising thing is it was down 5% today and just reversed course to join in on the bail-out rally.

EDIT: I just sold 300 shares of GE to buy 500 additional shares of RMBS.

My view of GE hasn't changed really. I'm still in GE long-term - have 700 shares. They'll weather this storm. If they don't... well, I guess I have bigger things to worry about then huh?

I now hold 4,300 shares of RMBS plus some LEAPS. You can call me crazy, but I'm putting my money where my mouth is.

D@mn dude. That's a lot of eggs in the RMBS basket. Good luck to you.

I do agree that GE would be a good long term play. Another one to watch is Boeing (BA). The machinist strike has hammered it down quite nicely and it may go down a little ways more.

 

[ponyo]

Sold out Amex completely and 1/2 of GE. Both were trade and I rather be early on my sell than late. I'm keeping the 1/2 of GE for exposure as the stock acted well to the news today. Reaction to the news is more important than the news itself.

From what I'm reading, the credit market still isn't acting well and in some cases have gotten worse. Equities eventually come in line with the credit market. I'm going back to defensive posture. I've had a good year, and I shouldn't jeopardize that by taking unneeded risk. Hit to quit it has serve me well.

 

[Azurik]

Originally posted by: ricochet

Originally posted by: Azurik
Well, it's no surprise GE warned ahead of their earnings at this point. The surprising thing is it was down 5% today and just reversed course to join in on the bail-out rally.

EDIT: I just sold 300 shares of GE to buy 500 additional shares of RMBS.

My view of GE hasn't changed really. I'm still in GE long-term - have 700 shares. They'll weather this storm. If they don't... well, I guess I have bigger things to worry about then huh?

I now hold 4,300 shares of RMBS plus some LEAPS. You can call me crazy, but I'm putting my money where my mouth is.

D@mn dude. That's a lot of eggs in the RMBS basket. Good luck to you.

I do agree that GE would be a good long term play. Another one to watch is Boeing (BA). The machinist strike has hammered it down quite nicely and it may go down a little ways more.

I saw the BA drop - I work in the defense industry and own a lot of Raytheon shares. Wasn't their drop due to the delays of their new planes too?

 

[LegendKiller]

Market is going to take a dump tomorrow. First WaMu, now no agreement.

 

[Ricochet]

Originally posted by: Azurik

Originally posted by: ricochet

Originally posted by: Azurik
Well, it's no surprise GE warned ahead of their earnings at this point. The surprising thing is it was down 5% today and just reversed course to join in on the bail-out rally.

EDIT: I just sold 300 shares of GE to buy 500 additional shares of RMBS.

My view of GE hasn't changed really. I'm still in GE long-term - have 700 shares. They'll weather this storm. If they don't... well, I guess I have bigger things to worry about then huh?

I now hold 4,300 shares of RMBS plus some LEAPS. You can call me crazy, but I'm putting my money where my mouth is.

D@mn dude. That's a lot of eggs in the RMBS basket. Good luck to you.

I do agree that GE would be a good long term play. Another one to watch is Boeing (BA). The machinist strike has hammered it down quite nicely and it may go down a little ways more.

I saw the BA drop - I work in the defense industry and own a lot of Raytheon shares. Wasn't their drop due to the delays of their new planes too?

You can bet the machinist strike caused more delays of the 787. A few of the Boeing suppliers/subcontractors have even laid off some of their workers due to the inactivity in the factory.

 

[Ballatician]

Wow, WaMu. Just wow

I'm guessing a lot of people are trying to dump it right now, is it already de-listed or what happens now?

 

[Slew Foot]

You guys really think the market will dump tomorrow?

WAMU was largely in the bag, everyone knew that would tank, being bought out is probably better than going straight down IndyMac style.

 

[Random Variable]

Originally posted by: Slew Foot
You guys really think the market will dump tomorrow?

WAMU was largely in the bag, everyone knew that would tank, being bought out is probably better than going straight down IndyMac style.

The only thing that has been holding the markets afloat the past 2 weeks has been the prospect of a deal out out of Washinton. I just can't believe how incredibly stupid House Replublicans are being. It's like they have no clue how bad things are.

 

[Ballatician]

Well I guess Wamu failing was better than the extra burden being passed to the taxpayers.

CEO will still make his $11mil+

 

[GeneValgene]

Originally posted by: Ballatician
Wow, WaMu. Just wow

I'm guessing a lot of people are trying to dump it right now, is it already de-listed or what happens now?

yea...i have a n00b question. what happens to wamu shareholders?

 

[Duddy]

I hate this deal bu there seems to be no other easy way to band-aid this problem. And the GOP are ruining everything!

Just look what the WaMu and bailout news are doing to the World Indices:

http://finance.yahoo.com/intlindices?e=asia

 

[Random Variable]

Originally posted by: GeneValgene

Originally posted by: Ballatician
Wow, WaMu. Just wow

I'm guessing a lot of people are trying to dump it right now, is it already de-listed or what happens now?

yea...i have a n00b question. what happens to wamu shareholders?

They lose everything. But people with accounts are OK.

 

[ponyo]

Congress is playing russian roulette. This have this weekend to get their act together. They will not get another chance after this weekend. I did not like the bailout news when I first heard it. I still don't like it. But I realize it's necessary to try to save the system. But this is Congress we're talking about. They are playing game of chicken.

My plan is to buy small amount if we totally melt today in hopes Congress gets some sense over the weekend to get this done. If they don't, God help us next week.

 

[freegeeks]

Originally posted by: Naustica
Congress is playing russian roulette. This have this weekend to get their act together. They will not get another chance after this weekend. I did not like the bailout news when I first heard it. I still don't like it. But I realize it's necessary to try to save the system. But this is Congress we're talking about. They are playing game of chicken.

My plan is to buy small amount if we totally melt today in hopes Congress gets some sense over the weekend to get this done. If they don't, God help us next week.

i did just the same a few minutes ago. I bought Fortis (under heavy pressure in European markets). I hope we get some good news from the US Congress soon

 

[ivan2]

the market today is better than I thought, except the WB free fall which is pretty much expected, the majority is holding up well. I guess people are still optimistic that some kind of help will come from washington.

edit: covered my short GG position, aint gonna risk no more..

 

[Ricochet]

I'd vote for no bailout. Although my portfolio will suffer somewhat, I'd rather weather the storm than let tax payers foot the bill for these greedy banks.

 

[ponyo]

Originally posted by: Naustica
Here's a scary thought. What if the market is currently holding because of the optimism of the bailout. Once the bailout is approved, they sell on the news and cause panic selling. We drop much further from here until the true bottom is found. Without short covering to prop up the price, stocks sell off hard.

I have to think the smart people believe Congress will pass the bailout bill. Then, the question is why aren't they buying stocks in anticipation? Hmm...

I sold the rest of the GE. The scary thought I had above won't leave my head. The market may rally on Monday on the news of the bailout. But everyone is hoping for it and many are sort of expecting it. If we get the deal and we pop, I would sell. Because the maximum pain in my view is a hard sell off. Since people expect a relief rally after the bailout, sell off would cause a panic and cause VIX to jump and a true bottom might form. Just my IMO.

 

[ponyo]

News media is saying the market is scared about the bailout bill not passing. I don't buy that. I think the market already figures the bailout bill will pass. It's what comes after that worries it. They say history doesn't repeat, but rather often rhymes. If you look back at the chart of the 1929 crash, you'll see Durant, Whitney, and Rockefeller bought large chunks of stocks like US Steel to show support and try to save the market. There was small pop initially but much larger decline happened after. Is Mr. Buffett with his Goldman buy = Rockefeller and his US Steel buy? Also, Pakistan banned short selling earlier this year thinking that was the cause of the fall in stock prices. Pakistan market declined sharply after the ban. I'm not saying any of this is the same but it's interesting.

I hope I'm wrong in my scary thought and the bailout bill marks the bottom and we never go lower. But I've a sneaky feeling we might see the rhyme.

 

[vi edit]

So the Bush thing 30 minutes ago wasn't a go-ahead on the bailouts?



Just caught a blip of it.

 

[ivan2]

imo this bailout is weak, you don't go with a small amount and see if it works, it needs to end the crunch on the spot or it's going to start rolling again like Buffet's snowball...

the point that they will take equity in return sounds about right.

 

[thirtythree]

Originally posted by: vi edit
So the Bush thing 30 minutes ago wasn't a go-ahead on the bailouts?



Just caught a blip of it.

They have to vote on it first. While I'm too lazy to read this whole article, it sounds like it might take till Wednesday:

"While congressional leaders said they had the headcount to pass the vote -- a Senate vote could come as early as Wednesday -- investors were likely to be unnerved until the votes are complete."

http://biz.yahoo.com/ap/080929/wall_street.html