[Newsbot]

Title: Analyst: Here Comes the Biggest Stock Market Crash in a Generation
Category: Business
Posted By: ShepherdsDog
Date: 2016-01-15 08:29:22
Canadian

[ShepherdsDog]

Buy stocks in aluminum....canned goods.

$1:

With the U.S. stock market sagging, oil off to its worst start ever, and the China’s economy continuing to deteriorate, bearish analysts have a wealth of evidence to point to.

And they don’t come much more bearish than Albert Edwards, strategist at Société Générale. He’s not had much nice to say about the global economy in years, and recent events have only hardened his convictions that the world is headed for disaster, and will take the prices of equities down with it. How much? Edwards predicts the U.S. stock market could plunge as much as 75%. That would be worse than during the financial crisis, in which stocks from their peak to trough dropped a brutal 62%.

[Canadian_Mind]

Does this mean my shares in gold companies will finally go up? It's been a rough year already.

[BartSimpson]

The Dow dropped 500 points today. Oil dropped below US$30 per barrel for the first time since 2003. I called my retirement plan and stopped my contributions for the time being - my 457 lost 15% of its value since the 1st of the year and I had to stop the bleeding.

Oh, but according to Obongo things are just fuckin' peachy and we're all a bunch of racists because we won't support him on the economy.

[xerxes]

All the key indicators say that things are better in the US. Wall St. has hiccups like this all the time. They'll have earned it back by next week.

[BartSimpson]

xerxes xerxes:

All the key indicators say that things are better in the US. Wall St. has hiccups like this all the time. They'll have earned it back by next week.

I'm not so sure. Shipping and manufacturing are way off. Wal Mart announced today that it's closing over 300 stores. Oil is down.

It isn't looking good.

[BartSimpson]

From liberal and pro-Obama CNBC:

http://www.cnbc.com/2016/01/15/a-recess ... ntary.html

$1:

The S&P 500 has begun 2016 with its worst performance ever. This has prompted Wall Street apologists to come out in full force and try to explain why the chaos in global currencies and equities will not be a repeat of 2008. Nor do they want investors to believe this environment is commensurate with the dot-com bubble bursting. They claim the current turmoil in China is not even comparable to the 1997 Asian debt crisis.

Indeed, the unscrupulous individuals that dominate financial institutions and governments seldom predict a down-tick on Wall Street, so don't expect them to warn of the impending global recession and market mayhem.

But a recession has occurred in the U.S. about every five years, on average, since the end of WWII; and it has been seven years since the last one — we are overdue.

Most importantly, the average market drop during the peak to trough of the last 6 recessions has been 37 percent. That would take the S&P 500 down to 1,300; if this next recession were to be just of the average variety.

[Thanos]

BartSimpson BartSimpson:

xerxes xerxes:

All the key indicators say that things are better in the US. Wall St. has hiccups like this all the time. They'll have earned it back by next week.

I'm not so sure. Shipping and manufacturing are way off. Wal Mart announced today that it's closing over 300 stores. Oil is down.

It isn't looking good.

The counter to this is that Walmart is shutting down in areas where the local economic conditions are so bad that they're affecting the performance of single Walmart franchises. A lot of those stores to be closed are older ones that are being amalgamated into super-stores to serve a larger area.

Hey, how about that? I just defended Walmart. Admission to Hell now guaranteed.

[ShepherdsDog]

You had VIP access years ago.

[Thanos]

Must have been based on my Earth-Raper-Alberta-guy-who-deserves-everything-terrible-that's-happening-to-him status. Either that or because of my regular explosions where I tell gawd how much I fucking hate him and that I'll spit right in his face if we ever meet in the same room. Mother Goose Lady Blasphemy? I fucked her.

[Brenda]

What was it at this time last year? Or the year before that? I doubt 15000.
Sit back and relax. Computer algorythms at work.

[Brenda]

Thanos Thanos:

BartSimpson BartSimpson:

xerxes xerxes:

All the key indicators say that things are better in the US. Wall St. has hiccups like this all the time. They'll have earned it back by next week.

I'm not so sure. Shipping and manufacturing are way off. Wal Mart announced today that it's closing over 300 stores. Oil is down.

It isn't looking good.

The counter to this is that Walmart is shutting down in areas where the local economic conditions are so bad that they're affecting the performance of single Walmart franchises. A lot of those stores to be closed are older ones that are being amalgamated into super-stores to serve a larger area.

Hey, how about that? I just defended Walmart. Admission to Hell now guaranteed.

My kid works at the local Walmart that just turned into a superstore. She hates it. I hate it. Stock is 30% down to make room for produce and deli. We don't need another grocery store here.

[2Cdo]

Brenda Brenda:

My kid works at the local Walmart that just turned into a superstore. She hates it. I hate it. Stock is 30% down to make room for produce and deli. We don't need another grocery store here.

All Walmarts are the work of Satan.

[Caelon]

I have a contrary opinion to the doom and gloom people. Please note that Albert Edwards is a perpetual pessimist and is usually wrong. If you say there is going to be a crash every year eventually once in 7 or more predictions you will be right. Let's consider some fundamentals. China is predicted to grow at 6.5% in 2016 and people are telling you that is terrible. If we grew at 6.5% they would tell you we had an overheated economy and that was terrible. For a long time China had double digit growth. Yes the percentage is down, but it now based on a much bigger pie. In hard numbers China is still a driver of the world economy.

In 2008 we had the biggest crash in history with a market drop of 43.9%. The only people who lost money were those that panicked and got out of the market. They locked huge losses and missed the gains when the market grew. Those that stayed pat were in the black by 2010. Over the last 60 years the TSX had and average annual gain of over 10% yet the average investor made less than 3%. Instead of buying low and selling high they buy high and sell low. Would you go into a store and buy a TV at the highest price of year and then on Boxing day sell it back to them because the price went down? Well the average investor does precisely that. What you should be doing is loading up because the market is on sale. It is a stock market Boxing Day! Over time the market is always up. You should look at it with a 10 year or longer perspective.

In 2015 in spite of everything you heard about the terrible markets diversified aggressive investors manged an 8% gain. That is in line with the 20 year average. So much for a market disaster that the news people were talking about.

The rational people are pointing to a 2016 with modest gains. I think they are right. That will not sell newspapers and so the nay sayers get all the print. Remember Journalists are paid to write not be right.

[BRAH]

Sounds like fear mongering by certain people to stay relevant.