spatial
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Post by spatial on Feb 6, 2018 9:19:38 GMT 10
US stocks had major volatility last night – DOW down 1,175 points and another 300 point in afterhours trading. Intraday trading was down more than 1,550 points. Japanese preopening is 8% down – we might be seeing trading halts today.
Previous record in point drop for the DOW was 777 back in 1987 – sure the percentage drop was not as much, but there is high potential for a major disaster.
I will be removing most cash from bank accounts and placing in gun safe. Just in case, there is a banking crash. Can always put money back in a week or two if things calm down.
If stocks continue to drop till Friday Iwill be out buying more preps like meds, pet food, fuel and ammo – that will be my level 2 activation.
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Deleted
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Post by Deleted on Feb 6, 2018 10:12:24 GMT 10
Hi spatial, I consider a good indicator of something serious is the price of gold jumping up.....so far that has not happened....so in fact it seems like a correction in which bargains can be brought...MAYBE!
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Ammo9
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Post by Ammo9 on Feb 6, 2018 11:29:38 GMT 10
I'm buying a house, can't withdraw my cash right now but might hold a little in hand.
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paranoia
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Post by paranoia on Feb 6, 2018 12:19:27 GMT 10
DOW up 10% for the 6 month period, 20% for the 12 month period...
I don't believe this correction is a sign of anything more than a healthy market.
A further 10% drop would actually give me more confidence in the market, not less... 25% p/a growth is not right and the markets know this.
Metals prices are still within normal ranges, markets still at what were record highs a few months ago... Keep an eye on things sure but some of the news stories I've been reading today are laughable...
Stay the course, keep a level head.
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Beno
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Post by Beno on Feb 6, 2018 12:52:50 GMT 10
the market needs to get rid of all that printed money. maybe this is how it has to happen?
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tomatoes
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Post by tomatoes on Feb 6, 2018 13:50:00 GMT 10
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spatial
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Post by spatial on Feb 6, 2018 15:04:35 GMT 10
In 2008 the world was an hour or two away from banking collapse where a banking holiday would have been called and all bank accounts across the world frozen. It took the entire world by surprise, and emergency money printing saved the day.
This time debt is much higher – fundamentals are even worse, there are bubbles in all markets from bonds to stocks. In 2008 it was just the US housing issue. Last night both bonds and stocks sold – it is a different monkey.
I am thinking a bit early for total collapse but one can’t be too cautious. The US politics are toxic and international politics are bad. The US has another debt ceiling coming on Thursday. A lot of money on the markets is borrowed so if downward pressure on stocks continue margin selling can crash the system.
US futures down another 1200 points, Japanese markets down 6.9% and falling on top of big drops yesterday. ASX down 3.71%
money.cnn.com/data/afterhours/
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Ammo9
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Post by Ammo9 on Feb 6, 2018 18:16:32 GMT 10
I think something like that, but not sure how meaningful that is in a financial collapse though.
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Ammo9
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Post by Ammo9 on Feb 6, 2018 18:26:19 GMT 10
I made no such assurance, though there's barely cops in my area let alone defence bases. There's a choc unit with a shipping container and a scout hall but no gear.
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Post by jo on Feb 6, 2018 19:47:15 GMT 10
Doesn't the Commonwealth Government guarantee bank savings up to $250,000? Sorry frosty knowing from experience when Australia is in deficit your"government guaranteed" investmests are worthless as the government does not have "reserve cash" to cover these.. the government is broke so how do you expect it to keep your investments afloat? Hey you just have to remember Christopher Scase ... he was "government guaranteed" lol not |
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Post by jo on Feb 6, 2018 20:21:48 GMT 10
Lets just hope your properties are worth as much as they should be ..... sorry if I touched on a subject that is personal but I know for real if you have investments in anything "government guaranteed " you are going to lose money (only thing that is guaranteed) when a crash happens
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Post by jonasparker on Feb 7, 2018 2:26:28 GMT 10
This looks like a somewhat standard and overdue correction in the Dow Jones Industrial Average. The correction will be, I feel, in the 15 - 20% range overall as profit-takers cash out their winnings. If you see the DJIA dropping AND the futures prices of gold and silver shooting up, then it's time to panic. JMHO.
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Post by Peter on Feb 7, 2018 20:15:56 GMT 10
...If you see the DJIA dropping AND the futures prices of gold and silver shooting up, then it's time to panic. JMHO. That makes good sense to me. That said, I've started taking cash from the bank to bolster the funds stored at home. What I'd like to see is how "common" people (ie, not gubment) responded to the start of hyperinflation: pre-WWII Germany, 1990's Zimbabwe, etc. I'm sure there are lessons we can learn from such examples from a preparedness perspective. |
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spatial
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Post by spatial on Feb 7, 2018 20:47:00 GMT 10
...If you see the DJIA dropping AND the futures prices of gold and silver shooting up, then it's time to panic. JMHO. That makes good sense to me. That said, I've started taking cash from the bank to bolster the funds stored at home. What I'd like to see is how "common" people (ie, not gubment) responded to the start of hyperinflation: pre-WWII Germany, 1990's Zimbabwe, etc. I'm sure there are lessons we can learn from such examples from a preparedness perspective. I have been watching the demise of Venezuela. It is kind of eye opening. |
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Deleted
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Post by Deleted on Feb 7, 2018 21:23:26 GMT 10
Ok if we are going to be clever then, and we have expectations Australia and the USA could have trouble backing their currencies and going bust in the process....we will see mortgage interests rise sky high first wiping out most people, so it must be time to convert to fixed interest loans....which you could easy pay off if inflation goes up! (And buy gold or shares in gold mines!!)
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spatial
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Post by spatial on Feb 8, 2018 9:56:44 GMT 10
Ok if we are going to be clever then, and we have expectations Australia and the USA could have trouble backing their currencies and going bust in the process....we will see mortgage interests rise sky high first wiping out most people, so it must be time to convert to fixed interest loans....which you could easy pay off if inflation goes up! (And buy gold or shares in gold mines!!) Fixing interest rate on fixed asset debt is a good thing. US bonds going up as well as volatility that is what is spooking the market - fear of inflation. |
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Post by thereth on Feb 8, 2018 23:41:52 GMT 10
The problem with fixed interest rates is you can't make extra repayments beyond a small, set amount without financial penalty. You are effectively locked into debt. A mix of fixed and variable is what I did until the mortgage balance was negligible. That’s true, one way around this though is of interest rates do skyrocket, it generally means that interest rates on deposits go up. So you could pay the max you could in your fixed rate home loan while putting what extra you would like to pay into your mortgage into a high interest account and as soon as you are able, dump the lot into the mortgage. |
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spatial
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Post by spatial on Feb 9, 2018 7:54:18 GMT 10
US DOW another big drop 4.15% or over 1,033pts. Again the very unusual occurrence of bonds yields going higher and stocks dropping and USD and Euro staying flat - little currency flow. Zero-hedge is already calling it a correction - does it now move into a crash. Due to debt levels a full blow crash can easily trigger a banking holiday (all bank accounts frozen, or gov confiscating money in bank accounts). Other issues rattling the market are velocity of money and lack of liquidity. China is also having a melt down. I have drawn a few $k out the bank - will leave it at that for the moment and keep a close eye on what happens tonight and Monday with US stocks. "Bloodbath" - Dow Crashes Over 1000 Points, Enters Correctionwww.zerohedge.com/news/2018-02-08/extreme-fear-strikes-stocks-credit-crashes-10-month-wides |
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Post by jo on Feb 19, 2018 21:01:27 GMT 10
Just wondering if anyone has driven down their Main Street lately and found that that either shops are closed or there is a plethora of cheap shops taking over... I live in a large rural community that "prides" itself on being a large contributor to the global economy but 3/4 of the town seems to be either out of business or is for sale
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spatial
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Post by spatial on Feb 19, 2018 21:16:01 GMT 10
Just wondering if anyone has driven down their Main Street lately and found that that either shops are closed or there is a plethora of cheap shops taking over... I live in a large rural community that "prides" itself on being a large contributor to the global economy but 3/4 of the town seems to be either out of business or is for sale I work in a rural community and see the same - even in the larger towns on the coast. Even services like hair dressers etc... seem to be getting less. Cost of living is too high and profit margins too low - there is a general shutdown. Government hiring is going down and they are also now only offering short term contracts like 6 months to 3 years. Online purchasing has killed what economist call the brick and mortar or Mom and Pop stores. In the USA they call it the retail apocalypse. Retail Apocalypse Accelerates: 200 Winn-Dixie Stores To Close As Parent Goes Bankruptwww.zerohedge.com/news/2018-02-17/retail-apocalypse-accelerates-200-winn-dixie-stores-close-parent-goes-bankrupt |
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