How do you think the markets will react tomorrow?

Cyrus · Intermediate Crude Joined: Jan 25, 2005 Posts: 629

How do you think the markets will react tomorrow? With all of this bailout contreversey?

Tyler_JC

I predict a rally which will quickly fizzle once they realize the government has to wipe out shareholder equity in order to make this program work.

The Feds bought 80% of AIG for $85 billion. The company was "saved" but the shareholders just experienced a massive dilution of their investment.

They effectly quadrupled the number of shares in print. That has one hell of an effect on earnings per share. I will be shocked if they return to their August level of $20 a share any time soon.
_________________
"www.peakoil.com is the Myspace of the Apocalypse."

Niagara

I expect a huge rally initially.

To be followed by the mother of all crashes, right on schedule.

As per Ben & Hank's Playbook
(skip ahead to 2:45)

Novus · Light Sweet Crude Joined: Jun 21, 2005 Posts: 1750

I predict a week long rally followed by a slow fizzling. In about 3 or 4 weeks it will dawn on the markets and the world that the bailout has failed. Then you will see the mother of all stock market crashes along with a dollar meltdown.

Bas

if there's no more bad news on the banking and insurance front this week, I expect the markets to hover around the 11,000 mark without any big rallies or slumps.
_________________
"The best thing about the future is that it comes only one day at a time."

- Abraham Lincoln

smallpoxgirl · Moderator Joined: Nov 08, 2004 Posts: 6486

Then on Friday, when the short selling ban expires, everything will go to hell again.
_________________
"We were standing on the edges
Of a thousand burning bridges
Sifting through the ashes every day
What we thought would never end
Now is nothing more than a memory
The way things were before
I lost my way" - OCMS

killJOY · Fission Joined: Feb 21, 2005 Posts: 2510 Location: ^NNE^

eye hav know phuking eye de a.
_________________
"By the time individuals discover that remaining resources will not be adequate for the next generation, the next generation has already been born. " David Price

Triffin

With a "methane burp" that would
make Cid_Yama proud !!

Triff ..

TheDude

They will

themselves with fear. Bunch of frickin' amateurs.

That looks like a helluva party, SPG. Cool

But alas, there's the day after...

_________________
Cogito, ergo non satis bibivi
C'mon man, who're you gonna believe?

DaleFromCalgary · Tar Sands Joined: Jul 31, 2008 Posts: 60

If I could predict the future, I wouldn't have to work for a living. I'd go down to the race track once a week and put $100 on the trifecta.

This is why I don't buy publicly-listed stocks. My investments are in small start-up junior petes with private equity. Share value = book value, book value = reserves plus physical assets, and none of this roller-coaster nonsense.

Revi · Fusion Joined: Apr 25, 2005 Posts: 3537 Location: Maine

I'll bet the market goes up until around the end of the week, then starts to tank again next week. The 700 billion may give them something to feed on for a week or two. Then they will be crying for more as the whole thing goes down again.
_________________
Deep in the mud and slime of things, even there, something sings.

charliebrownout · Heavy Crude Joined: Apr 17, 2008 Posts: 291

sittinguy · Heavy Crude Joined: Sep 07, 2007 Posts: 392

First injection,, 2weeks

Thinks look slow, 2nd injection, 1 month

Got 200b$ left

Third injection, 3 months.

Obama, sends out more money.

2 months.

Then something weird happens,,, crash

we're screwed..

prep now

efarmer · Intermediate Crude Joined: Mar 17, 2006 Posts: 510

The toughest job falls to Jack. He has to climb the beanstalk
again and break it to the giant that the note on the castle
in the air has gone sideways and he will have to put up all
his imaginary money or will not only lose the castle, but the
cloud it is on as well. Once he gets back down, if he gets
back down, he has to try to calm his mother, and then
hustle into town to see if his lawyer thinks he can
prevail on the guy who scammed him on the Magic Beans
for cow contract and hope the cow is still around and in
one piece. You and I both know that the cow is in many
little pieces, each one in a separate CDO (cow debt obligation)
and spread out between many players in many nations,
some of whom can not even be told they own a piece of cow
and in fact are prohibited by law from doing so.
I say Jack waits for JP Morgan or Citigroup to pull some or
all of the cow back in as part of working with the feds on the bailout, and then to talk himself back into a job, since he has actually seen the cow intact, and has a good idea on how
he might be put back together.

You and I have got it easy pal.

Jack is going to think he's is living in a friggin' fairy tale,
then again, so are the House Republicans.

the48thronin

I think the kicker was a couple of nights ago when he said I was wearing an invisible tinfoil hat to throw off any other tinfoil hatters who might really be plants from the govt.

wow what a sig line

let's see.........

I'm wearing my invisible tin foil hat to confuse those tin foil hat wearers who are really plants from the government sent to find everyone wearing a tin foil hat and put them on the A list.

I wouldn't want to be placed on the A list after all!
_________________
Courtesy and Courage, Sincerity and Self-control, Honor and Loyalty...a Code to Live By!

Where is my wooden pitchfork and torch anyway? I may need them for a visit to the castle soon!