Posted on 06/09/2017 6:22:34 AM PDT by SkyPilot
I’ve been hearing about crashes coming for so many years. 2015 was supposed to be the big one, remember?? I believe it will have to happen eventually for many reasons. One of my first reactions now when I hear things like this is to think….what is he selling? So often people try to scare you into buying the products they sell. I’ve fallen for it before. Fear sells.
Put your dough in... tattoos!
Capt’n Hook says its like money in the bank!
Rogers would have more cred if he wasn’t a permabear. Every time the market skyrockets he goes out and predicts gloom. Can’ remember him ever saying it is a buy opportunity. That said I believe the market is due for a sell off, but not the worst ever.
Pay attention. The man asked UNDER THE SCENARIO OF A CRASHING MARKET where to put his 401k money.
Look what goes up..., comes down. And up and down. Sell offs and pull backs are healthy, nothing should go in any straight line.
That said, money always has to be parked somewhere. Right now the US is the safest place. Low cost of money keeps fueling this market. Decent earnings now and the idea that if Trump gets policy the market will be an even better place to be. Until proven otherwise you can not afford NOT to be in this market.
I expected the Feds to halt QE once Trump got into office but I no longer foresee a crash should that happen because:
1) oil prices continue to remain low and oil prices steer the rest of the economy.
2) most of America believes we have a pro-business president again after 8 years of an anti-business president thus they are investing and creating more job openings.
3) Trump is saving us billions by getting us out of the Paris trap, scaling down the EPA and other money-wasters. Yes, some of that will turn around and be spent on the military but that also means jobs in the defense sector.
4) The time for a crash was last winter when Trump first assumed office and, instead, we got a robust winter.
Yes, there may be a time of slippage if the Feds pull out of the market and some on the left may call it a “crash” if we fall as far as say 15,000 on the Dow but that’s not a crash in my book - just a correction. The economy would still go on.
Pay attention. The man asked UNDER THE SCENARIO OF A CRASHING MARKET where to put his 401k money.
He didn’t reply to ‘the man’. He replied to you.
I appreciate what you wrote.
I was replying to “the man” Einstein. And considering the parameters of HIS question, the advice was prudent.
Disastrous falls in the stock market....all have a history. You can go back to the 1800s and observe each one of these. In most of those...it was a regional situation (a drought, massive flood, a series of regional bank failures). It’s not till 1929 that you have a true national collapse.
But in the 1929 period, you can go through the decade prior and find literally a dozen warning signs. Land speculation, banks taking consumer deposits and speculating on stock, etc. The fed could have stepped in and resolved the 1929 crash and lessen the effect, but failed miserably. FDR came on three years later and simply doubled the effect of the crash.
If you look at 2008, you see almost a whole decade of warning signs...again, land speculation, huge stock expectations, the tech market over-heated, and banks again into heavy speculation.
If you look at Greece and their great fall...there were signs going back two decades. Same for Cyprus.
Right now, I see one colossal problem in the amount of debt owed on college loans. If you have any situation arising where large numbers of people are laid off....the college loan problem will collapse the market and you’d repeat 1929 all over again.
So, how would a modern day crash play out given the circuit breakers in place?
For the past fifteen years or so I’ve been getting almost daily email warnings about the collapse of the dollar, followed by requests to send somebody money to “study” the problem, or offering to sell me something to make me rich when everyone else is bankrupt. What makes this individual any different?
The “fundamentals” on SNAP are cringe worthy.
You are wrong here. The Free Republic Army of Free Traitors™ has informed me on may occasions that the real cause of the Great Depression was the passage of the Smoot-Hawley Act in 1930 and it's implementation in 1931. Get with the gloBULList propaganda. /SARCASM
LOL. Try again.
Stock market gains just this month are worth more than all the student load debt.
“In my case, I bought 32 acres, 2/3 wooded, in central KY and left Seattle in 2011. I absolutely love it here and produce eggs for all the people I work with. I’ll get some cattle if the need arises.”
Should be plenty of deer around—if ya need a “snack”.
“I’m an uninformed investor. I’m 60, and have a 401k. What should I be looking at as shelter from the storm?”
Buy beans, bullets and Bibles.
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