A public service message that will save you lots of $$$ (completely serious)

[V8 Muscle]

Just trying to drop some knowledge on you guys so you dont lose more $ in the recession....

Cliffs @ the top, but read what I wrote if you want more info:

-The stock market rally is fake as hell and completely manipulated. Basically a "pump & dump" in the making.
-We are currently in the final stage of the fake rally
-Banks are currently selling their shares to people like your parents who put $ into IRA's and mutual funds (aka the "bag holders")
-After the banks sell out, they will make money by letting the market fall and rebuying their shares at lower prices.
-You/your parents will get SCREWED unless you sell before its too late
-GTFO OF STOCKS/MUTUAL FUNDS WITHIN 30 DAYS


Details:
As a future finance professional (getting my MS in Finance currently), I feel an obligation to tell as many people what is happening and what WILL happen in the financial markets over the next 6 months. You dont have to take my advice, but at least read this and form your own opinion. Most people not educated about the stock market and financial markets just read about stuff in the newspaper and take it at face value, because they know nothing else. I'm sure many other finance professionals on this board will agree with me on this. Please enlighten yourself a bit by reading my post.

Right now the stock market has rallied nearly 50% from its lows, and everywhere you go you hear about the coming economic recovery. Banks are reporting positive earnings, Ben Bernanke and Tim Geitner are saying they see "signs of a recovery", and CNBC is announcing the recession is now over. THIS IS BS!!!!

If you dont know by now, the stock market is like a casino, except your odds of winning are even worse unless you know how the house plays. The house in this case is Goldman Sachs, JP Morgan, and the other large financial institutions. The only way they make money from their trading operations is if someone is losing money, namely YOU the average investor with an IRA in some mutual funds and random blue chip stocks.

Right now, everyone in the media is saying BUY STOCKS WHILE THEY'RE CHEAP! Are they cheap? HELL NO! They have no real earnings! The government has worked closely with Goldman Sachs and JP Morgan to engineer a stock market rally (with government news releases, media hype, and automated programs that make stock prices rise artificially) to lure in small investors, like you and your parents, with promises of great stock gains in a recovery.

The fact of the matter is that if you or your parents have ANY stocks, mutual funds, or bonds in an IRA or personal portfolio DO YOURSELF A FAVOR AND SELL. The safest place to be right now is on the sidelines.

Goldman, JP Morgan and the rest of the banks make money by causing the most pain for the most people (because they are the ones taking the opposite side of the trade when they sell you a stock). Right now, I'm seeing the last stage of market manipulation that is intended to hurt those speculating the market will go down (namely forcing short buy-backs, and making people take losses on stocks). When the people who buy back stocks they have sold short (to make money when stocks fall), the banks take the other side of the trade and SELL their shares to those who need to buy back. After banks have sold all of their holdings off and are no longer at risk, they will inflict the most pain to the most people (ie people buying stocks in hopes of a recovery) and the market will fall as hard as it did in Sept/Oct of 2008. Even if you look at the risk/reward, the S&P 500 is currently at 935ish and the highest it could go to in the best scenario over the next couple years is 1100 (+17%) and the lowest it could reasonably go to is 400 (-43%). Your risk/reward is essentially 2.5/1 (risk 2.5 dollars to get 1 dollar return), which a HORRIBLE r/r in the financial world. You should NOT own stocks at this point until their valuations come way way down.

I hope you guys read that, because I know your parents have lots lots of money in the stock market already. I personally have lost probably $30-40,000 between my college/post college fund my parents had for me and my IRA account (I bought the top in 2007 before I knew what I was doing). Save yourselves and your parents several thousand dollars and tell them to get out now before its too late.

If this saves one person a bunch of money, I will be really happy. I feel obligated to expose the corruption and sickening behavior that makes these asshats on Wall Street so much money. I feel disgusted that I'm going to be working in Finance and be associated with these people. I've seen so many people lose TONS of money in the past 9 months, and I want to help as many people as possible. And dont even talk to your broker because they usually give horrible advice and they are also trying to sell the shares for their firm so they arent stuck with them when they go down.

If any of you guys want further info or are interested feel free to PM. And I'm going to bump this **** for days becuase its really important.

[G-mane12]

i dunno lol

[u5711]

insert colin powell jpg.

[BlitzKrag]

brb, getting financial advice on the misc...

lol

[Mises]

The rep system on the misc is a great representation of how wealth is formed.

In the beginning, there were no rules. The people with the highest rep points represent "Old money" - people who greedily traded and abused the rep system in its infant stages in addition to those who created the system (Moderators who could simply assign themselves power and reps).

Rules were made, preventing this corrupt trade of reps, but Old Money was allowed to keep their ill-gotten gains and continue to trade with each other, increasing their wealth. However, if Old Money did something that was against the Moderators will, such as randomly plunging people into the red, they would be stripped of their power. Therefore, Old Money works with the mods to keep their reps.

Next, we had additional people join the system, who represent immigrants, that could gain enough reps for a middle-class standing by making good posts and working hard, but would always be at a disadvantage and could never amass as many reps as Old Money.

Then you you have the low/negative rep people. The trolls. The "noobs." These people are unassimilated. They don't care about the rep system. They simply accept or give reps at a whim. Or maybe they just pissed off a mod and got negged into no-man's land. These people are equivalent to the lower/lower-middle class and the incarcerated population. They will usually mention the fact that "the Man" negged them in their signature and will constantly complain about their situation.

Then you have the newcomers with high reps - "New Money." These people can be hot females or males who faked being hot females in order to gain the appreciation of the masses (ex. TheBody7). They are equivalent to the celebrities, the moviestars, the Paris Hiltons. More commonly, New Money are people who engage in rep trading by doing it in secret or shifty ways. These are equivalent to drug barons, insider traders, and corrupt CEOs. And RARELY, very rarely, the Noveau Riche includes a person who's posts are just so good - so hilarious, so influential, and so innovative, that they can actually propel themselves from nothing to riches via their own ingenuity. These people are equivalent to Bill Gates or Steve Jobs. Their posts are just golden.

[Dosquito]

cliffnotes:
-OP suggests stock market is risky
-therefore, invest all your money in USD
-this can't possibly go wrong

[SwoleCat33]

i hate being so stupid, but i dont know **** about economics or politics.
































didntreadlol.jpg

[Epictetus IV]

Care to back up anything you just said there? What proof do you have that this is a fake rally? And don't say "just believe me" or "I have the credentials, I learned it in school".

[guest]

The only thing that I'm questioning is the fact that housing, unemployment, and sales are starting to improve (or slow down getting worse)...but you could very well be right.

[V8 Muscle]

cliffnotes:
-OP suggests stock market is risky
-therefore, invest all your money in USD
-this can't possibly go wrong

we're actually going through a deflationary period right now. Contrary to popular belief, inflation will only occur when there is too much money in the system. Right now most of the money is being stockpiled by financial institutions because they have to keep their capital requirements high. Once those institutions begin lending that money though, we will get massive inflation.

you can invest in TIPS if you're worried about inflation. Gold is a solid hedge too, but make sure you get physical delivery of it, not just a piece of paper.

[HC]

in before the tri-lateral coalition...

or is it the illumitati

or the masons...

lulz.


and no **** the "rally" is fake...FFS i don't know of anyone who thinks we are in any kind of recovery...****'s going to get a lot worse before it gets better....

global correction happening.

[Hegotgame]

The only problem with selling is im kinda locked in as i would have to pay capitol gains taxes on all my ****. I lost about 35% of my money and i'm kinda locked in my losses at this point. Really a lose lose situation.

On the bright side of the last 70-80 years the stock market has came back eventually.

O well lucky i don't really care about being rich i'm happy being middle class.

[Polak55]

I love the teenage thinking for financial markets

Markets go down: LOL TOLD U IM SO SMERT

Markets go up: OMG WTF HAX STOP CHEATING

[AFXC1]

[u5711]

cliffs

bank = devil

they own your soul, bush is a terrorist, osama is still alive, 9/11 was a conspiracy and the mods were behind the recent bb.com layout attacks.

[V8 Muscle]

The only thing that I'm questioning is the fact that housing, unemployment, and sales are starting to improve (or slow down getting worse)...but you could very well be right.

the thing is that they're really NOT improving. Unemployment is in fact getting worse and U6 unemployment (including all people who have given up looking for jobs and people who have had work hours reduced) is above 16% and is likely to rise over 20%.

Housing is another story and building permits are taking off. But if you think about it, this is simply going to make housing prices drop further because there is already an excess supply of housing. Too much housing + even more housing = WAYYY too many houses.

Sales arent improving in reality. The media has spun it so it looks that way, but if you dig a little deeper the earnings generated are based on layoffs (reductions in costs) which only generate short term profits. Q3 profits will be absolutely HORRIBLE and I suspect that the stock market will react in the late summer/fall when earnings are announced.

[thorton]

I'm surprised in all that you didn't mention why the banks had such good gains this last quarter. It wasn't off a reinvigorated economy, they made there gains off massive one time sell offs. If you look at there bottom line subtracting the income from the sell offs they actually lost billions. It really is interesting when you peel away a few layers to try and discover what is making things roll.

[BlitzKrag]

we're actually going through a deflationary period right now. Contrary to popular belief, inflation will only occur when there is too much money in the system. Right now most of the money is being stockpiled by financial institutions because they have to keep their capital requirements high. Once those institutions begin lending that money though, we will get massive inflation.

you can invest in TIPS if you're worried about inflation. Gold is a solid hedge too, but make sure you get physical delivery of it, not just a piece of paper.

Umm stocks are a great hedge against inflation. amirite? yes.

[V8 Muscle]

Care to back up anything you just said there? What proof do you have that this is a fake rally? And don't say "just believe me" or "I have the credentials, I learned it in school".

sure thing man. If you have time to read some stuff, take a look at an excellent and easy to read blog which has excellent information. He explains stuff much better than I could do in a couple paragraphs and gives great examples with facts and the like. He's one of the best financial bloggers around. http://market-ticker.denninger.net/

If you're interested in a bit more in depth information try reading Zero Hedge, my personal favorite blog but its kinda tough to wade through unless you know a bit about financial markets. www.zerohedge.blogspot.com

[too_small]

My step dad told me he lost about 30k in the stock market today...

Apparently grand totaling almost 85k...

[V8 Muscle]

I'm surprised in all that you didn't mention why the banks had such good gains this last quarter. It wasn't off a reinvigorated economy, they made there gains off massive one time sell offs. If you look at there bottom line subtracting the income from the sell offs they actually lost billions. It really is interesting when you peel away a few layers to try and discover what is making things roll.

absolutely. I would have gone into details but I realized my post was already long as **** and nobody is going to read it anyways. A great example of an earnings farce is JPM this past quarter. Bank earnings next week should be complete sh*t also because they dont have trading ops like GS/JPM/C

Umm stocks are a great hedge against inflation. amirite? yes.

Yes, but inflation isnt the problem yet. Deflation is the problem because credit is tightening and money is becoming more scarce. Deflation = less money to buy stocks with = lower stock prices.

[V8 Muscle]

My step dad told me he lost about 30k in the stock market today...

Apparently grand totaling almost 85k...

Ouch man..... sadly this is the story of many people including myself (and I'm sure my parents). Luckily I told my dad to sell me out in October (still too late), but I saved about $7k in my college fund. The price of my mutual fund went from 75 to 55 now I think.

[AFXC1]

1934^^^

[guest]

the thing is that they're really NOT improving. Unemployment is in fact getting worse and U6 unemployment (including all people who have given up looking for jobs and people who have had work hours reduced) is above 16% and is likely to rise over 20%.

Housing is another story and building permits are taking off. But if you think about it, this is simply going to make housing prices drop further because there is already an excess supply of housing. Too much housing + even more housing = WAYYY too many houses.

Sales arent improving in reality. The media has spun it so it looks that way, but if you dig a little deeper the earnings generated are based on layoffs (reductions in costs) which only generate short term profits. Q3 profits will be absolutely HORRIBLE and I suspect that the stock market will react in the late summer/fall when earnings are announced.

IMO, unemployment is the strongest indicator. Fukk the notion that it's a lagging indicator - it's a crystal ball. If people have less money, they will spend less money. If they spend less money, then revenue will decrease. If revenue decreases, then more layoffs - less money being spent. The cycle continues until another bubble forms, unfortunately.

[ChorizoFit]

Ive been waiting for it to drop and get a little bit better for about 1 month then ill buy at low prices mwhahahaha

[thorton]

absolutely. I would have gone into details but I realized my post was already long as **** and nobody is going to read it anyways. A great example of an earnings farce is JPM this past quarter. Bank earnings next week should be complete sh*t also because they dont have trading ops like GS/JPM/C



Yes, but inflation isnt the problem yet. Deflation is the problem because credit is tightening and money is becoming more scarce. Deflation = less money to buy stocks with = lower stock prices.

Yeah I made some good cash off the banks when I looked at them a few weeks ago and noticed the massive sells offs and how the media would play it with the whole "the economy is better!" I'm out of the market again, but if you can read what will happen you can still make some nice cash.

[DEUCE518]

[V8 Muscle]

in before the tri-lateral coalition...

or is it the illumitati

or the masons...

lulz.


and no **** the "rally" is fake...FFS i don't know of anyone who thinks we are in any kind of recovery...****'s going to get a lot worse before it gets better....

global correction happening.

you'd be surprised. My dad even told me a couple months ago that he thought we were recovering and he didnt want to sell out. I think I changed his mind though because I've sent him tons of articles on how this rally is bs and manipulated. I'm glad you do realize its crap though, not enough people do. There are tons of people buying stocks at their broker's recommendation right now....

The only problem with selling is im kinda locked in as i would have to pay capitol gains taxes on all my ****. I lost about 35% of my money and i'm kinda locked in my losses at this point. Really a lose lose situation.

On the bright side of the last 70-80 years the stock market has came back eventually.

O well lucky i don't really care about being rich i'm happy being middle class.

Take your loss and buy stocks back when they're cheap. When the S&P is under 700 again you can start to buy, but dont throw all your money in at once because it might go under 500 in a year or 2

[V8 Muscle]

IMO, unemployment is the strongest indicator. Fukk the notion that it's a lagging indicator - it's a crystal ball. If people have less money, they will spend less money. If they spend less money, then revenue will decrease. If revenue decreases, then more layoffs - less money being spent. The cycle continues until another bubble forms, unfortunately.

absolutely man, sounds like you are substantially more informed/logical than the avg person. And if you miss out on some gains if/when we run up to 1k, so be it. At least you're not losing money... There will be more buying opportunities in the future.

Ive been waiting for it to drop and get a little bit better for about 1 month then ill buy at low prices mwhahahaha

Wait until Winter. The market will be substantially lower by then.

Yeah I made some good cash off the banks when I looked at them a few weeks ago and noticed the massive sells offs and how the media would play it with the whole "the economy is better!" I'm out of the market again, but if you can read what will happen you can still make some nice cash.

glad you made some money and got out while you can. right now theyre trying to squeeze shorts hard so they'll probably run this up to 1k on low volume and then tank it fast come september

[vref]

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