Anybody taking advantage of Coronavirus?

[alcoholica]

until there is a consistent and significant shift downward, with some actual fundamentals looking at us, i'm not falling for it. Most or all losses will probably be recouped by the end of the week...sans travel stocks

 

[BNAG8R]

until there is a consistent and significant shift downward, with some actual fundamentals looking at us, i'm not falling for it. Most or all losses will probably be recouped by the end of the week...sans travel stocks

Good call

 

[FireFoley]

Another Fed meeting and another Powell and Co.

 

[alcoholica]

Another Fed meeting and another Powell and Co.

it's going to go to shyt one way or the other. there is nothing this admin is doing that kicking the can will help, only going to make the kick in the pants that much worse when it happens.

 

[Concrete Helmet]

Another Fed meeting and another Powell and Co.

I'm no fan of Powell but I think if you read between the lines he basically told us in code that the whole "transitory" inflation thing is a load of BS...remember by their own words they were shooting for 2% inflation and are admitting by what are usually doctored numbers that it is at 6%...the highest in almost 50 years...and yet we still have 9 million job openings

 

[BMF]

Amazon is down 7% today. I added one share. AMZN and APPL are a few of the only stocks I've been buying the this year.

 

[BMF]

Market is set to take a small crash this morning.....

 

[CDGator]

Market is set to take a small crash this morning.....

Evergrande contagion threat hits global stock market
Debt crisis is wreaking havoc on Hong Kong’s stock market
European markets sink 2%…
Investors prepare for Fed meeting
Bitcoin drops 4% in less than 30 minutes…

 

[CDGator]

What is a Reverse Repurchase Agreement
A reverse repurchase agreement, or "reverse repo", is the purchase of securities with the agreement to sell them at a higher price at a specific future date. For the party selling the security (and agreeing to repurchase it in the future) it is a repurchase agreement (RP) or repo; for the party on the other end of the transaction (buying the security and agreeing to sell in the future) it is a reverse repurchase agreement (RRP) or reverse repo.


Repos are classified as a money-market instrument, and they are usually used to raise short-term capital.

Reverse Repurchase Agreement Definition

 

[GatorCatsi]

Just happy that the Fed chiefs got caught and had to sell their stocks earlier this month.

 

[CDGator]

Can someone explain what this all means?

 

[GatorCatsi]

Can someone explain what this all means?

Something, something... China... something, something... Evergrande... something, something... due for a correction... something, something... bitcoin fixes this... something, something... buy the fcking dip...

 

[CDGator]

Something, something... China... something, something... Evergrande... something, something... due for a correction... something, something... bitcoin fixes this... something, something... buy the fcking dip...

Besides the obvious

 

[Concrete Helmet]

Well at least my gold was up today.... caught wind of this looking at the pre market this morning and thought I had dumped enough regular stocks to come out alright on everything else...I'm dumping everything except a retirement fund and gold in my private portfolio tomorrow if it looks the same...even my AMC and semi's stock...it's on for real this time.

 

[FireFoley]

Without going too deep in the weeds. when the FED is doing it's QE and buying Treasurys and MTGE backed securities to the tune of 120 Billion a month, they are in essence putting money into the system, thus the talk of how much liquidity there is in the system and it has to go somewhere. But since the banks, etc. are sitting on way too much money they have to do something with it and it has come to the point where the FED has to basically take the money out of the system nightly in the form of these reverse repos

 

[no1g8r]

Without going too deep in the weeds. when the FED is doing it's QE and buying Treasurys and MTGE backed securities to the tune of 120 Billion a month, they are in essence putting money into the system, thus the talk of how much liquidity there is in the system and it has to go somewhere. But since the banks, etc. are sitting on way too much money they have to do something with it and it has come to the point where the FED has to basically take the money out of the system nightly in the form of these reverse repos

Correct this if it is wrong:

In theory, for the economy:

• Reverse Repos = slightly less “money” in circulation
• Less money in circulation is slightly deflationary

In theory, for the equities markets:

• Less money in circulation means less money looking for a place to be invested
• Less investment money means slower equities market price growth, or downward pressure on the market prices

The question is, are these reverse repos significant enough to move either one?

 

[FireFoley]

Correct this if it is wrong:

In theory, for the economy:

• Reverse Repos = slightly less “money” in circulation
• Less money in circulation is slightly deflationary

In theory, for the equities markets:

• Less money in circulation means less money looking for a place to be invested
• Less investment money means slower equities market price growth, or downward pressure on the market prices

The question is, are these reverse repos significant enough to move either one?

In my opinion, right now the answer is no. There is such an excess in the system, which is why these huge often reverse repo's are occurring. If you listen to anyone on the blower, they all say that liquidity is one of the main reasons they remain bullish on stocks. Even when the FED tapers, they will still be adding money monthly. It will take them 6+months just to not be adding excess liquidity. Some (myself included) don;t think they will ever finish tapering. I contend the window was wide open 12 months ago and is beginning to close and fast.

 

[Concrete Helmet]

In my opinion, right now the answer is no. There is such an excess in the system, which is why these huge often reverse repo's are occurring. If you listen to anyone on the blower, they all say that liquidity is one of the main reasons they remain bullish on stocks. Even when the FED tapers, they will still be adding money monthly. It will take them 6+months just to not be adding excess liquidity. Some (myself included) don;t think they will ever finish tapering. I contend the window was wide open 12 months ago and is beginning to close and fast.

10YR is up about 25 basis points over the last 2 weeks. Could this be the beginning? Nasdaq is throwing a fit....

 

[FireFoley]

10YR is up about 25 basis points over the last 2 weeks. Could this be the beginning? Nasdaq is throwing a fit....

That is a very swift move in that short a period of time. The 5 yr. has been on a tear. Over the weekend and early this week is the first time that the people who matter at the FED have verbally said that Inflation is going to be around longer than they hoped or thought. They screwed themselves when they kept saying transitory, which in the financial community is a shorter time frame than temporary. Hell everything is temporary eventually. Interest rates have been going down for 40+ years, but they stopped going down finally, so yes that was temporary!

 

[Detroitgator]

Crude hits 7 year high...