It was about 8578 yesterday right?
-1184 = 7394.
So it already went below 7500 at least for a minute or two.
Even though most already have it, here is a quick link…
http://www.marketwatch.com/quotes/indu
Ok, can someone explain how I saw yahoo finance show us down 1052, my iphone’s tracker showed down 11xx, but now looking at the days range the most we were down was 688?
Nick was just predicting I think.
52Wk High: 14,279.96
52Wk Low: 7,882.51
:lol: Ain’t that a fucker?
^Oh ok
CNN says 700
I was quoteing directly from http://finance.google.com/finance?cid=983582
And at the time I posted what the point drop was.
I imagine that their updating pretty much went :jawdrop: at the time and aws prolly inaccurate.
yeah, yahoo was adding yesterday to today this morning. It freaked me out too when I saw -10%
HOLY SHIT!!! I FIGURED OUT HOW TO SAVE THE ECONOMY! OIL’S BACK UNDER 80, SO WE KNOW IT WORKS!!!
YOU KNOW WHAT’S COMING. :squint:
LETS ALL NOT BUY STOCKS FOR A DAY TO SEND A MESSAGE TO WALL STREET!!!
:thankyou:
:bigclap:
The government needs to stop carpet bombing money. Just let the markets sort out the value of the underlying assets. This same sort of monetary policy is what lengthened and deepened the great depression.
Me? I have been cash for 10 months now. I saw the warning signs along time ago. I only lost about 6% 
This whole crisis just shows the fallacy of central banking. Stabilization is chaos.
I’m sticking with the jewish guy on this one.
GREEN ARROW!
Hmmmm i liked his statment before this information was in play. At this point I would GIVE him my money haha.
FUCK! I want red red red red to like 6k lol so I can buy huge and hold for years. Then blow it all on hookers, coke, and sports cars. My plans are being ruined!
EDIT-Ahhhhh red is back
Maybe I misinterperet Milton Friedman’s explanation? I think he’s saying that if the Federal Reserve had stepped in and purchased assets, thereby providing cash to banks, then they would have stemmed off the depression.
What Friedman is referring to is that the fed could have provided liquidity to the banks. The fed did in fact buy over 1 billion (1932 dollars) of treasury securities in an effort to boost liquidity. Friedman glosses over this fact.
The Fed kept the interest rate low all through the 20’s. which provoked “capital misallocation” much like the housing boom. Under a 100% reserve banking system, all banks must expand credit simultaneously. If one bank issues too much credit it could be subject to a call by another bank and because it has loaned too much money to meet the call and would immediately become insolvent and be liquidated. Before 1913, this was the cause of many of the financial panics.
What the fed did was enable the banks to expand credit without worrying about becoming insolvent in the event of a run. “the lender of last resort”.
It also enabled the banks to utilize fractional reserve banking to expand credit.
Fractional reserve banking works like this. Suppose person a deposits 100 dollars in bank b. If the reserve ratio (RR) is 10% the bank only has to hold
10 dollars of a’s money at all times. Banks make money on loans, so bank b loans 90 to person c. The bank still has a liability (a’s 100 dollars) on its balance sheet. Its balance sheet now looks like this.
assets liabilities
reserve 10 100 deposits
loan 90
Person c puts the money into bank d. Bank d then loans out the 10% it can to person e. Bank d’s balance sheet looks like this
assets liabilities
reserve 9 90 deposits
loan 81
This cycle repeats itself. The formula for the “Money Multiplier Effect”
is 1/RR In this case since RR is 10% the money has multiplied by 10 times under fractional reserve. In real life, a 10% RR equals approximately a 4 fold increase in the money supply.
The fed enables the banks to grow credit at an artificial and inflationary rate. The fed kept the rates low for so long that capital misallocation had to occur (home prices, oil prices, commodity prices). When the fed stepped in and attempted to start pricking the housing bubble that it created it created a cascade effect that has caused so much damage to the economy.
The reason I am against interventionist policies and the fed in general is that it destroys the markets natural clearing abilities. The swings in monetary supply that the fed creates through open market operations and through fed to bank lending exagerrate any natural business cycle so that we have boom until confidence is eroded. (mortgage securities losing value) and then a bust followed by a large increase in inflation. (current situation). Intervention in the natural clearing abilities of the free market
would NEVER be needed under a 100% reserve system with a stable and fixed monetary supply.
Inflation as a definition is “a continous increase in the price of a good”.
Inflation is simply the difference between the gdp growth and monetary growth. For example, if gdp grows 4% and the monetary supply is increased 10% we would naturally expect inflation to be in the neighborhood of 6%. Under a fixed money supply a gdp increase would actually mean a DEFLATION.
Now since inflation does not immediately happen, the banks, which are the first to use the newly printed money do not feel any of its ill effects. Inflation is felt most by us, the consumers. Inflation is a hidden regressive tax and affects the common man by eroding into the purchasing power of the dollar.
The fed has a dual mandate. High economic growth and low inflation, and low unemployment. Output in an economy is Y=F(K,L) where Y= output and
K and L are capital and labor respectively. So output is a function of capital and labor with any extra growth being technological improvement.
The fed increases Output (Y) through capital (K) by inflating the monetary supply. Eventually the equations have to equal out and that is when we run into situations like this. If there were no fed the business cycle would be much smoother and there would be no labor shocks in recessions. Hence stabilization is chaos.
Seeing Friedman talk about the fed like that is comical since he was not a supporter of it for many of the same reasons I just put down.
If this didnt help, let me know and I will try to sort things out more.
DOW-444.99 -5.56%
7,552.29
It should go up today but it’s not looking fantastic.
Bump. 
lol, you’ve been waiting 3 months to bump this haven’t you.
I think Justin, pdubya and myself are going to win on the long shot.
Maybe but I hope not.:uhh: