Posted on 03/07/2012 5:54:29 AM PST by SeekAndFind
Stocks fell early and often Tuesday as the situation in the eurozone continued to deteriorate.
The Greek Bailout 2.0 plan is being jeopardized by weaker-than-expected participation in the country's debt swap offer and fears that its failure would result in €1 trillion in losses for European banks. Also adding to concerns is word that Ireland could require a second bailout package -- something that might not be forthcoming if the Irish reject a strict new fiscal austerity pact.
The result is what's set to be the worst market performance since December and the breaching of significant technical support levels. By all indications, the losses are just getting started.
Here's how you can profit from the emerging downtrend.
I've already said a lot about the intractable problems being faced by Greece, so be sure to review my recent blog posts. Overall, the country is headed toward a "hard default" -- the first in 60 years for a developed country -- and a very likely exit from the eurozone. By restoring its national currency, Greece can promptly devalue it and restore its economic competitiveness by making its exports and tourism industry more attractive to foreigners.
The problem of Ireland is a new wrinkle that has taken the market by surprise.
And as a result, people are selling and selling hard. In the process, a number of important foundations of the post-November uptrend are getting whacked:
* Cyclical, economically-sensitive stocks are underperforming non-cyclical defensives on a scale not seen since the fallout from the collapse of Lehman Bros. back in September, 2008.
* Breadth, calculated as the percentage of NYSE stocks above their 50-day average, is plummeting in a way not seen since November.
* Declining issues are outpacing advancing issues in a way not seen since last August's market collapse.
(Excerpt) Read more at money.msn.com ...
The S & P is up 25% since October. That’s quite a nice run. The markets are do for a pullback - for whatever reason.
Look at it as a chance to buy some stocks that are rather a bit cheaper than they were just last Friday.
-Rex
PS: One cannot time the market.
“do” s/b “due”
Haven’t bought anything since October. Waiting for the right opportunity.
selloff? The bears continue to be desperate. I guess missing a 5000 point Dow Jones rally could do that to a person.
Is it possible world events are used to (even caused for the purpose of .. ) covering what is happening in America ?
Just a crazy thought .. I'll take my meds now ...
IMO, the stock market is presently way overvalued and should be way down. Most of the rest of the world is as overextended as the US. Our current debt is above 100% of GDP and we are racing to catch up to Europe, Greece, Ireland and China.
As soon as one of these countries defaults on their debt, we will see the rest fall like dominoes. When that happens we will see a global depression that will make the depression of 1929 look like a day at the park.
This is the danger of having interconnected global economies that the “one-worlders” have pushed us toward. Global economies don’t work and only serve to be like welfare in America. the people who work and pay taxes end up supporting those who have decided that they don’t want to.
This is what the global economy has brought us.
——This is what the global economy has brought us.——
Ha, ha, ha.
The change you are having problems with is the result of winning WWII. Those nations and peoples now fully emerging from the wreckage and colonialism seek to have better lives.
The global economy is global striving for better more prosperous lives. Your negative view is to uphold a past that was but a small blip, 50 years at best, in world history. The task for America is to keep on keeping on an destroy the progressive disease that misunderstands the current reality
Those of us in business like international customers. They pay us money and maintain jobs
——Those of us in business like international customers. They pay us money and maintain jobs-——
We prosper in a prosperous world, if our economy is free..
——Those of us in business like international customers. They pay us money and maintain jobs-——
We prosper in a prosperous world, if our economy is free..
Demographics - the baby boomers are retiring and they want a nice retirement, so they’ll be pulling money out of the stock market.
Whose money and whose jobs??
As I noted, most countries in the world are overextended and living off borrowed credit. America's jobs are being shipped offshore at an alarming rate.
And, if you think that the "global economy is global striving for better more prosperous lives", you haven't been paying attention. The only people becoming more prosperous are the Barack Obama's and George Soros' of the world. That hasn't trickled down to the majority of worker bees.
I aleady saw where Carbonite stock plunged.
Carbonite (carb) is up .32 cents but it is trading near its 52 week low. (high around 21 current around 8)
I suspect they did not “just drop” Rush ads, they are in big trouble and simply can’t afford it.
That is absolute drivel born of gross ignorance.
How many international transactions have you made your self? How many export orders have you personally processed? How many letters of credit have you negotiated? How many foreign business associates do you have? How many foreign customer e mail address do you have Fax numbers?
I think the answer to all those questions is none. You read the drivel people post here about international and believe it. You have been duped.
Well, lessee, bert, I took my MBA in London, UK. Does that help you out any?
When I was last there, I recall having to use a passport to go to and from London because it’s NOT in America and, being an American citizen, I needed to use it to enter and exit the country.
So, I think I have a pretty good understanding of the international marketplace.
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