Investing megathread extravaganza

[DaFace]

A place to talk about investing stuff.

[Discuss Thrower]

Originally Posted by Hammock Parties

140 any day now chicken little

The US dollar will be reaching Weimar levels of hyperinflation soon.

[Hammock Parties]

Originally Posted by Discuss Thrower

The US dollar will be reaching Weimar levels of hyperinflation soon.

Doubt it, if you're referring to the stimulus. They just borrowed against next year's tax returns.

America rolls on. As I said, the worst has passed.

[Buehler445]

Originally Posted by Hammock Parties

Doubt it, if you're referring to the stimulus. They just borrowed against next year's tax returns.

America rolls on. As I said, the worst has passed.

That’s not how money supply works.

In my eyes there won’t be inflation until the quarantines are all over and the money can make a couple laps, but I was obviously wrong about unemployment so I’ll keep my trap shut.

[Nightfyre]

Originally Posted by Discuss Thrower

The US dollar will be reaching Weimar levels of hyperinflation soon.

Not really. An interesting part of QE, the Fed can shrink the money supply by about 5 trillion by selling treasuries. This will drive yields up, further slowing the velocity of money. The Fed might be insolvent by the end, but the consequences of that are inconsequential according to studies that the Fed had conducted.

[BigBeauford]

Originally Posted by Rain Man

Wow, seriously? I lose track any more of who owns what, but I assumed that their video and movies and stuff would be far bigger than their parks. But that was just guessing. I've never tried to look it up.

It's perhaps a little closer upon inspection to be 37 - 33, but I was really surprised. Their parks make big time money.

[Hammock Parties]

Originally Posted by Discuss Thrower

I do not understand why SPY is at 260.

261

[Discuss Thrower]

https://seekingalpha.com/article/433...line-is-coming

1. Peak loss of output. It's now generally accepted by economists that US GDP will contract by an annualized rate of somewhere between 15% and 25% in the second quarter of 2020 (some economists have estimated that the contraction in 2Q 2020 could be as severe as -50%). This would represent the greatest quarterly contraction in US economic history, by far.

2. Cumulative loss of output. Even though the US economy may resume quarterly sequential economic growth in the third quarter, the US economy will most likely remain in deep contraction mode on a year-over-year basis (i.e. relative to the same period in 2019) for all of 2020. This is due to the fact that social distancing will continue to be practiced (mandated and/or voluntary) – to a lesser or greater degree – for 12-18 months (or until a vaccine and/or cure for COVID-19 is widely available), thereby devastating large parts of the US economy during this time. For example, restaurants, sporting events, air travel, concerts, conventions, shopping malls and tourism will be devastated (relative to 2019 levels) for as long as social distancing is being practiced. In this context, it can be estimated with confidence that the cumulative loss of output associated with the forthcoming recession, relative to the baseline level of output (in this case 2019), will be by far the most severe since the Great Depression. No other recession since 1929 comes even close.

3. Peak unemployment. Peak unemployment is likely to surpass 20% and could be substantially higher. This is a higher rate of peak unemployment than any US economic crisis since the Great Depression.

4. Cumulative loss of hours of production. The cumulative loss of productive labor associated with the forthcoming recession will surpass any such losses since the great depression. No other recession other than the Great Depression produced a loss of labor hours that is even close, by comparison.

5. Massive financial crisis. The forthcoming financial crisis will make the Financial Crisis of 2007-2009 look like child’s play. No financial crisis since the Great Depression will be remotely comparable to the one which will be experienced in the coming months and years. The financial crisis of 2007-2009 – which had been the most severe financial crisis since the Great Depression - was mainly caused by defaults in just one segment of the credit market, namely residential mortgages. The forthcoming financial crisis will involve massive defaults on debt obligations from virtually every single industry in the US economy. Furthermore, massive defaults on commercial leases will have a devastating impact on the highly leveraged real estate sector and the financial entities that finance them. In the course of the forthcoming financial crisis, the common equity shares of many banks and financial companies will become worthless, while virtually all common equity shareholders of financial companies that provide credit will be subject to massive dilution in forthcoming restructurings and recapitalizations.

[scho63]

Originally Posted by lewdog

You have any more hot stock tips I can ignore?

He's investing in COVID Futures

[HonestChieffan]

Originally Posted by Discuss Thrower

https://seekingalpha.com/article/433...line-is-coming

Not sure how negative one can be but this guy is about to dive off a roof

[Discuss Thrower]

Originally Posted by HonestChieffan

Not sure how negative one can be but this guy is about to dive off a roof

If there were a god then hopefully it would tell you to demonstrate the proper form.

[lewdog]

Ford has suspended their dividend and is drawing down their cash reserves at a rapid rate. Stock also at $5. Woof.

https://www.fool.com/investing/2020/...ord-stock.aspx

[Discuss Thrower]

Originally Posted by lewdog

Ford has suspended their dividend and is drawing down their cash reserves at a rapid rate. Stock also at $5. Woof.

https://www.fool.com/investing/2020/...ord-stock.aspx

https://old.reddit.com/r/wallstreetb...t_and_what_it/

[Buehler445]

Good read. Thanks DT.

Bottom line, WOOF

[jerryaldini]

Surprisingly strong March manufacturing numbers out of China (China numbers, I know). PMI had dropped to 35 in Feb came back to 53. The kind of recovery US can hope for this summer.

[scho63]

Originally Posted by jerryaldini

Surprisingly strong March manufacturing numbers out of China (China numbers, I know). PMI had dropped to 35 in Feb came back to 53. The kind of recovery US can hope for this summer.

China would tell everyone they have full employment yet 80% of the workers would be prison labor. That's how Commies work.