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Dow Jones hits highest mark since 2007

Taylor said:
Don't know what safety has to do with my earlier post. Sure you can park your money in a CD - but that hardly qualifies as an investment these days... you'll make about as much hiding it under your pillow lol. Commodities is a good bet. Most bonds are not. T-bonds? Lol.
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The whole reason people invest in bonds, commodities, and bank instruments is because they are lower risk aka safer. When the market is weak and/or volatile, there's no demand for stocks, because the risk is too high. Once the market stabilizes, then demand for stocks increase, which is why we are seeing the Dow going up. People are investing in stocks because they want to. In other words, the markets are now safe enough to warrant investing. It's not because "there's nothing else."

As far as T-bonds and CDs go: both are very strong investments right now. They have no risk and provide solid returns. If we suffer a double-dip recession, or even a cooling off (which is pretty common over the summer months), you'd be happy you're invested in long-term, zero-risk instruments.
 
i have never heard anyone say what you just posted, digs. and yes, it IS recovery. why such a naysayer? obama would not get your vote if we had 4% unemployment.
 
Wow, this almost makes you forget that Obama is a Marxist! :lol:
 
Helix said:
my sentiments exactly.

however, i'm not a believer in trickle down.
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Rational people tend not to believe the whole trickle down myth. Well at least Obama has helped out his financial buddies, I mean if they weren't rich what would they do? Won't someone please think of the Banker!
 
AdamT said:
Wow, this almost makes you forget that Obama is a Marxist! :lol:
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He's not a Marxist. He's Status Quo, corporatism is a better designation.
 
Ikari said:
He's not a Marxist. He's Status Quo, corporatism is a better designation.
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I would agree that it's closer to the mark.
 
Ikari said:
He's not a Marxist. He's Status Quo, corporatism is a better designation.
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Dodd-Frank had some teeth -- very dull teeth.

The Tea Party congress blocking the appointment of someone to head the new agency didn't help either.

GOP = anti-consumer, anti-public safety party.
 
hazlnut said:
Dodd-Frank had some teeth -- very dull teeth.

The Tea Party congress blocking the appointment of someone to head the new agency didn't help either.

GOP = anti-consumer, anti-public safety party.
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Hazlnut you are limiting yourself to much here...the teaparty congress is anti anything that doesnt give the rich more at the expense of everyone else
 
Well the rich have gotten richer... kinda fits that the stock market is up and up.. Does it impact the average person.. nope.
 
Nick2253 said:
The whole reason people invest in bonds, commodities, and bank instruments is because they are lower risk aka safer.
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That all depends on how you define "risk" - traditionally, bonds tend to lose money during periods of economic expansion. That hasn't been true the past few years, but then again, we're not in a period of economic expansion right now so much as a period of economic "expansion" ;)
Nick2253 said:
People are investing in stocks because they want to. In other words, the markets are now safe enough to warrant investing. It's not because "there's nothing else."
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That statement wasn't meant to be taken literally. Indeed, there are an unlimited number of places to invest money, for example, new construction builds in Spain, Detroit municipal bonds, or Uncle Bob's Rabbit-Possum barbeque restaurant concept. Yes, people want a high liklihood of return, at the same time, they want a high liklihood of a good return.
As far as T-bonds and CDs go: both are very strong investments right now. They have no risk and provide solid returns. If we suffer a double-dip recession, or even a cooling off (which is pretty common over the summer months), you'd be happy you're invested in long-term, zero-risk instruments.
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T-bonds have no risk? CDs provide "solid returns"? What? Neither is true due to inflation. (BTW, USNews, among others, recently identified T-bonds as their "Worst bond investment for 2012")
 
'Ya know, I remember a time, before the Dow plunged, when it hit 14,000....... Which leads me to ask this question...... Which is better for America and it's economy? The cycles of boom and bust that we experience, or a steady growth of maybe 2 or 3 percent?
 
danarhea said:
'Ya know, I remember a time, before the Dow plunged, when it hit 14,000....... Which leads me to ask this question...... Which is better for America and it's economy? The cycles of boom and bust that we experience, or a steady growth of maybe 2 or 3 percent?
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If you're talking just about the stock market - cycles of boom and bust that over time generate a return of about 10% are far, far superior to a guaranteed 2 or 3 percent return.

This is just basic physics - compound interest is the most powerful force in the universe, (not to mention) the eighth wonder of the world, and the most significant mathematical discovery of all time...:2razz:
 
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