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Author Topic: Stock traders are idiots.  (Read 5999 times)

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Offline FluffyMcDeath

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Re: Stock traders are idiots.
« on: May 12, 2004, 06:43:17 AM »
Capitalism isn't there to benefit people. It's there for the benefit of those with the gold. Employed people are a liability. The fewer people working for a company, the less people that need to be paid.

As you know, too many people working produces upward wage pressure which leads to rising prices. This is called inflation and is very very bad because it unfairly penalizes people who do not work for a living, i.e. the investing classes who make their money from their money. Anything that makes money worth less is bad. Inflation does not have such a dire effect on workers because their wage is going up so a burgers worth of work today is a burgers worth of work tomorrow. However, if you just live off your money then your buying power decreases over time.

Therefore interest rates must rise. This has two beneficial effects.

a) The investing classes get to make more money when they lend their money out.
b) It makes it harder for companies to grow since loans cost more so they stop adding people.

Another positive effect is that it makes people who are on the verge of bankruptcy fall over the edge which means good deals on real estate, especially if you are one of those people that has a lot of money and don't have to work for a living.

But it does put a damper on the stock market because it means that it will be harder for companies who have to pay more in interest to post good earnings and earnings reports are what stock is all about. The only reason to buy stock is to sell it at a higher price (no sell, no gain). This is not as true of dividend stock, but who does those these days?

If you don't think you'll be able to get a better price for the stock than what you buy it for, you don't buy it.
 

Offline FluffyMcDeath

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Re: Stock traders are idiots.
« Reply #1 on: May 12, 2004, 06:18:02 PM »
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Fade wrote:

One of the lead stories was about the 900,000 new jobs that were created in the US in the last seven months and what that might possibly do to the economy.



Seems that not all those jobs are necessarily be real.
soJackson Thoreau doesn't think (whoever he is).
And neither does John Crudele at the New York Post. Could the administration be pressuring the Labor Dept. to inflate the jobs figures? Well, it wouldn't be outside of their modus operandi. They did it with that drug bill, and with the WMD intelligence.

Interesting footnote on the Iraqi Oil embrargo at the bottom of the New York Post article.
 

Offline FluffyMcDeath

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Re: Stock traders are idiots.
« Reply #2 on: May 12, 2004, 06:36:02 PM »
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AccyD wrote:
@ Fluffy

[edit] I assume your post WAS a joke ?

Which post; which part?
 

Offline FluffyMcDeath

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Re: Stock traders are idiots.
« Reply #3 on: May 12, 2004, 06:40:09 PM »
Seems that at least some of the jobs are real. There are a large number of jobs being spurred by government spending as in this article.

Interesting to note that (in the latter part of the article) orders are seen to be steady or increasing for at least a year. Is this just to cover continued operations in Iraq after "soveriegnty" is handed over, or are other campaigns in the works?
 

Offline FluffyMcDeath

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Re: Stock traders are idiots.
« Reply #4 on: May 12, 2004, 11:56:52 PM »
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T_Bone wrote:
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FluffyMcDeath wrote:
Capitalism isn't there to benefit people. It's there for the benefit of those with the gold. Employed people are a liability. The fewer people working for a company, the less people that need to be paid.


Wasn't that the transcript from "Volunteers" where Tom Tuttle played by John Candy is brainwashed by the communists?  :lol:



Never seen it, so if it is, it's a fantastic coincidence.

Though capitalism can improve peoples standard of living, it is only a side effect and is not a necessary outcome. In fact it is quite possible (and some think it desirable) to have healthy capitalism without rising living standards for the masses. It is even possible to have capitalism and to drive down the median living standards.
 

Offline FluffyMcDeath

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Re: Stock traders are idiots.
« Reply #5 on: May 14, 2004, 08:13:59 AM »
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Fade wrote:
@ FluffyMcDeath
"Capitalism isn't there to benefit people.
Bla Bla Bla.
Hogwash, Bla Bla.
More hogwash, Bla Bla!"
---------------

You were the one who seemed perplexed by the movement of the market. If it seems mysterious, it's because you have in mind an incorrect model.

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Capitalism isn't there for any reason.
Capitalism is the result. The result of an ideology that people should have the freedom to pursue any legal endeavor, for their own personal gain, without any interference from another person, group of persons, or the government.

First, you are immediately wrong. Capitalism is an ideology and not a result of anything but the ideology of capitalism.

The concept of having the freedom to pursue any legal endeavour without interference from persons or governments is dependant on the definition of what is legal by other persons and particularly governments which can change the law as time goes by, so in other words it means only doing what the government lets you. Got that?

If freedom means being allowed to do anything you want so long as you are allowed to do it, then everyone in the world is free.
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Fluffy, here is the difference between the US and a socialist country.

Fade, the US IS a socialist country. It is also nominally democratic (well, a republic) and capitalist. These things are not mutually exclusive.
 

Offline FluffyMcDeath

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Re: Stock traders are idiots.
« Reply #6 on: May 17, 2004, 01:03:41 AM »
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iamaboringperson wrote:
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First, you are immediately wrong. Capitalism is an ideology and not a result of anything but the ideology of capitalism.
Capitalism is no system.

It's more accurately described as the lack of a system such as 'communism', 'fascism' or 'socialism'.


Capitalism is not a system as you say, but requires a huge system of regulation and enforcement to make it work.