Stocks take another beating: Dow tumbles 300+

[jpak]

Source: USA Today

Wall Street is having another rough day as the Dow is down about 350 points in late morning trading amid a fresh slide in oil prices below the key $30 per barrel mark and continued fears about slowing global growth.

The rocky start to 2016 for stocks is continuing as investors contend with well-known yet persistent headwinds ranging from continued price declines in the oil patch, concerns about the impact of China's slowing growth on the U.S. and other world economies, and questions surrounding the pace -- and timing -- of interest rate hikes from the U.S. Federal Reserve.

The Dow Jones industrial average was down 350 points, or 2.2%. Unfortunately, these kind of drops are not uncommon for the Dow in what has been a volatile 2016. The Dow is on track for its worst point loss since a nearly 391-point plunge on Jan. 15.

The broader Standard & Poor's 500 was off 2.1% and the Nasdaq composite, which got crushed on Friday, was tumbling another 2.8%, as investors continue to exit last year's winners, such as Facebook, Amazon.com, Netflix and Google parent Alphabet and move into more defensive corners of the market, such as utilities.

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Read more: http://www.usatoday.com/story/money/markets/2016/02/08/stocks-dow-monday/79996150/

[CountAllVotes]

1. BUY BUY BUY BUY BUY

buy buy buy buy buy ...

BYE!!

[6chars]

5. my plan is to wait until it hits bottom

and then sell. like i did last time.

[CountAllVotes]

6. Yeah wait until the next selection is over

then buy buy buy buy buy ...
However, you could lose your ass ass ass ass ass ..

[jonno99]

13. Ha - that's funny (and sounds a lot like my performance)...nt

[6chars]

17. funny but true

My new strategy is to do the opposite of what I think I should do

[jonno99]

20. Excellent! Thanks for the chuckle...nt

[forest444]

19. Go short, 6chars!

Consider looking into Short ETFs - indexed funds that short a basket of stocks, or that short the big indexes themselves (safer).

While there are other factors weighing down the markets, the 600-pound gorilla is Wall Street's preference for a GOP win this November - for which, of course, they'll need to batter the stock market a good bit. It's no trouble to them: as you know, they make money either way.

All the best!

[mahatmakanejeeves]

29. You owe me royalties.

I've patented that technique.

[trillion]

33. I am very afraid of that. I'm getting old here and my 401k is going to be eaten by this corruption.

[GreatGazoo]

2. 1987, 2000, 2007/08...

All were the 8th year of Presidential term.

[LanternWaste]

4. Hoover however, that great architect of the worst depression, was a mere one-termer.

Hoover however, that great architect of the worst depression, was a mere one-termer.

[trillion]

34. Scary huh? Only 1 term of bad president destorys millions.

[houston16revival]

3. Worries over European Banks

CS, DB, Barclays halted down 5.5%

Everyone's looking for a spark

All this rebalancing because QE so juiced asset prices

Gold is through the roof believers think Fed has been chastened on
interest rates

But Fed must stabilize currencies ... global currency on the horizon

This same game will play out a number of times

[question everything]

7. The curse of the superbowl

http://www.investopedia.com/terms/s/superbowlindicator.asp

DEFINITION of 'Super Bowl Indicator'

An indicator based on the belief that a Super Bowl win for a team from the old AFL (AFC division) foretells a decline in the stock market for the coming year, and a win for a team from the old NFL (NFC division) means the stock market will be up for the year.

[SoapBox]

8. Thanks a lot...Wall Street Banksters.

[4dsc]

9. Stocks go up stocks go down

Stocks are overvalued right now and we are seeing a correction. We've seen it before and we'll see again.

[Algernon Moncrieff]

12. This^^ and some additional thoughts

1) If you look at the bigger picture over the past year, the market is essentially trading sideways. It runs upward from about DJIA 16,300; then falls back down below that level; then climbs back up.

2) Just because something is bad for the DJIA doesn't mean it's bad for workers. For example, the market hates low unemployment because it means higher wages. Most folks here support lower unemployment and higher wages.

3) If you are getting closer to retirement -- or if you are simply uncomfortable with volatility -- consider bonds or preferred stock as an alternative to the more volatile common stocks.

4) Remember that not every exchange traded stock is a huge corporation run by evil banksters. Many are small and mid size companies that went to the markets to get capital to grow. Growing American companies hire workers.

[PasadenaTrudy]

21. I have real estate...

Better than nothing, I suppose. Especially SoCal RE.

[houston16revival]

10. This market

is about to fall 6,000 points

[whatthehey]

11. Please sell me DJIA futures at 12000 then

You'll make a fortune if you're right. Please?

[Algernon Moncrieff]

15. Me too! Sell me futures at 12K.

I claim to have no detailed knowledge, but having seen the market rise and fall many times in my life, this looks like a correction -- not a meltdown. A drop into the 13s wouldn't surprise me in the least; however a drop to DJIA 10K or below would surprise me.

What I see: there is no aspect of the commodities or stock market that are trading in a really bubbly range. It's not like the dot.com boom, when stocks in tech companies that hadn't made a dime in profit continued to rise for no reason. Nor is this the housing bubble of '02-'07 where markets like South Florida, Phoenix, and Vegas doubled in value in two years. While some of those markets have come back to '05-'06 levels, they've done so over after dropping down to late 90s prices and then climbing back. Oil is low; building is continuing at a steady (albeit not exactly robust) level; vehicles are selling; and the families that got slaughtered in the downturn are starting to get their credit back to levels allowing them to get out of rentals.

[houston16revival]

18. Sarcasm

is not a reputable form of technical analysis

Long ago, in some book I can't find, some technician wrote

that technical analysis doesn't work at long term market tops or bottoms

[whatthehey]

30. I wasn't being sarcastic about the futures. Were you about the crash prediction?

[onenote]

22. Define "about" please.

This week. This month. Next month? This summer? This fall?

Sometime this century?

[houston16revival]

23. You're asking about "when"

"When" is not the same question as "about"

Low interest rates, to suit Fed Chiefs' political sponsors perhaps,
have created three asset bubbles in the last 20 years

1) Tech stock bubble, 2000

2) Housing bubble, 2008

3) asset, stock, and oil/commodity bubble, 2015

It's all the same cause: money that is too cheap. Everyone
borrowed to make millions, and invested in more capacity.

That is now overcapacity. Too much output, not enough money
in consumers' hands to buy the output, and everyone trying to
stay afloat by maintaining output. Glut.

Negative interest rates are yet another form of tax. Confiscation.

There is no fixing this. It's the return of the debt crisis, with no QE,
no gasoline left in the tank.

We live on ether, on borrowed time.

[onenote]

24. Basic English:

The phrase "about to" -- as in your statement that the market "is about to lose 6000 points" means "on the verge of".
http://www.merriam-webster.com/dictionary/about

I'm not sure what you think it means. If you meant to say the market is going to lose "about 6000 points" as in "approximately" you failed miserably in conveying that message.

My question was pretty straightforward: if you think that the stock market is about to --- on the verge of -- losing 6000 point, it's a fair question to ask what time range you think "about to" covers in this instance.

[houston16revival]

25. So now you've changed your question

from "about" to "about to"

As you say, Basic English.

[onenote]

26. Not really. And you still are avoiding answering the question: how soon do you think the market will

drop 6000 points?

[houston16revival]

27. What difference does it make what I think?

I see charts, look for support levels, every technician is doing the same thing.

Currency wars, oil glut, debt crisis, liquidity doubts, overcapacity in manufacturing
particularly China ...who knows. It's been artificially pumped up for 6 years. They
go down a lot faster.

Central banks now need to provide liquidity without capitulating to the markets'
demands for loose money. This daily grind lower is not going away without some
action by someone.

I think late March might be a tipping point. Haven't had one of those in decades.
In the 90s it seemed like April was a drop when IRA feed slowed.

[onenote]

28. Okay. Late March (maybe).

[wordpix]

31. so nice you can read the future, you must be very rich

[onenote]

32. Not me. I was commenting on the poster that predicted the market was "about to" drop 6000 points.

Maybe you should save your sarcasm until you learn to follow a thread.

[onenote]

35. While I would never say the market won't go down, you're short term forecast was more than a bit off

[jonno99]

14. Eh - low volume...nt

[lark]

16. Hmm, wonder if they're worried that Repugs will win the presidency,

and tank the economy as they always do? I'm sure concerned about that.