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Discussion in 'Political Discussion' started by PatriotsReign, May 26, 2009.

  1. PatriotsReign

    PatriotsReign Hall of Fame Poster

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    #18 Jersey

    Looks like PC sales are gearing up for a BOOM....

    NOT!!

    Dell: Profit slows as PC sales sink 34%

    A slowdown in PC and laptop sales pressured Dell's bottom line; revenue of $12.3 billion missed estimates. Company says environment remains 'challenging.

    "NEW YORK (CNNMoney.com) -- Dell Inc. reported Thursday that its first-quarter sales and earnings tumbled, driven down by weak PC sales - the company's main bread and butter.

    The company said first-quarter net income fell 63% to $290 million, or 15 cents per share, for the period ended April 30.

    Results included a charge of 9 cents per share for cost-cutting expenses. Without the charge, HP earned $475 million, or 24 cents per share. Analysts polled by Thomson Reuters, who typically exclude one-time items from their estimates, had expected earnings of 23 cents per share.

    Sales fell 23% to $12.3 billion, narrowly missing analysts' forecasts of $12.7 billion."


    Dell: Profit slows as PC sales sink 34% - May. 28, 2009
     
    Last edited: May 28, 2009
  2. Run DMC

    Run DMC In the Starting Line-Up

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    #24 Jersey

    In case anyone is considering shorting this rally which defies all logic,just remember this old adage: "the stock market can stay wrong longer than you can stay solvent".
    We have written off 1 trillion dollars so far in depreciating assets, we only have 3 trillion dollars left to go. The commercial real estate market is going to enter total meltdown mode in 3 months and we have 3-4 years yet for residential real estate to finish it's unwinding. Did I mention the coming credit card meltdown due to strike? It is laughable these dikwads at Goldman are running oil up once again( prob to $100). I stand by my statement, oil will be $25/bbl before this is over. Deflation is the word, my friends. 10 year treasury bond tells us we are due for another major meltdown. It's never been wrong.
    Not if, but when.
     
  3. godef

    godef In the Starting Line-Up

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    Please don't read me so literally, tanked. What I said was that it "was all primarily fueled by speculation and cheap get-rich-quick gimmicks". By "get-rich-quick gimmicks" I didn't mean pyramid schemes or the like, what I meant was things like CEO's guiding their companies to get the stock value higher than the last quarter at the expense of substained growth, with the intent of building up their golden parachutes. And I listed this second after "fueled by specualtion" which you fail to address.

    Bottom line: the value of Dow Jones was way over-inflated in value, much like the dot.coms were in their heyday, and the housing market as well. IMHO of course.

    So how typical is it for you to take a specific piece of a comment literally rather than its general intent, and then throw it back as the main point? If that's all you could up with, just don't bother. Please.
     
  4. godef

    godef In the Starting Line-Up

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    I would say this is more of an indication of the economy in general, and not specific to the PC industry. In good times, we like to constantly upgrade our PC's to keep up with the ever improving technology, but in times like this, it's a luxury we forego, thus the weakness in the market. Not much different than the auto industry, but fortunately for them,the PC business has managed itself better.
     
  5. PatriotsReign

    PatriotsReign Hall of Fame Poster

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    #18 Jersey

    You said almost exactly what I did a few days earlier...except, of course, you were much more in-depth Mossed! ;)

    Here's what I wrote;

     
  6. Michael

    Michael Moderator Staff Member PatsFans.com Supporter

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    #12 Jersey

    They better get use to it. For what most businesses use PCs for there is absolutely no need to upgrade beyond a 2 GHz machine. But, M$ will continue to rape and pillage with it's licensing.
     
  7. Real World

    Real World Moderator Staff Member

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    If oil drops to $25, that would be terrific. Hope your right mossed.
     
  8. PatriotsReign

    PatriotsReign Hall of Fame Poster

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    #18 Jersey

    All depends on what it takes to get us there RW.
     
  9. Real World

    Real World Moderator Staff Member

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    Look, we pretty much all agree that a **** storm is coming, or at the very least, that we're looking at a long recovery. I'm hoping that it's a prolonged period of crappy growth, or the latter, than a poop storm. Either way, $25 oil will make whatever comes our way, a lot easier to take.
     
  10. Run DMC

    Run DMC In the Starting Line-Up

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    #24 Jersey

    SP500 just went over 200 day moving average which places us squarely back into bull market territory. As Confucius say, we live in very interesting times. I think this is more of a reflection of the FED printing money. Yeah sure the Dow can be at 15,000 but what good is it when a loaf of bread costs $10 and a gallon of gas is $5.00?
     
  11. PatriotsReign

    PatriotsReign Hall of Fame Poster

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    #18 Jersey

    But didn't you just say

    ?????????

    Whattup wit you Mossed?
     
  12. shmessy

    shmessy Maude Staff Member PatsFans.com Supporter

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    #75 Jersey


    Don't get excited.

    We will see $200+ per barrel oil. We won't be seeing $25 per barrel oil.

    This deflation business is a crock. My biggest worry is hyperinflation within 3-8 years. Stimulation of monetary supply has always caused inflationary scenarios within an intermediate period. This is different only in the breadth and coordination globally.

    "Benjamin?"

    "Yes, Mr Davis?"

    "Benjamin, I have one word for you. Commodities".
     
    Last edited: Jun 1, 2009
  13. PatriotsReign

    PatriotsReign Hall of Fame Poster

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    #18 Jersey

    Only "if" the money being handed out (printed) reaches the hands of consumers and so far, there hasn't been a trickle. The REAL money supply has not increased. The money the fed has been giving away is mainly book money as in "money to reduce bad debt" in the financial industry. Every dime that has gone to the banks & other financial institutions has just been applied to the debt side of the ledger.

    The only way we can have hyper-inflation is is a boatload of this money reaches consumers and demand skyrockets. If some money does reach consumers, they're all paying down debt themselves...or even trying to save it. Saving does not increase demand at all.

    "If" we are to see hyper-inflation, the economy is going to have turn around in a big way. I can't even see a glimmer of that happening in the next 3-5 years.
     
  14. Run DMC

    Run DMC In the Starting Line-Up

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    #24 Jersey

    I guess this is my way of saying, I don't know. I would suspect deflation, however, the FED and the powers that be have an intention of re-inflating, even if it destroys the country in the process. Looks like they're succeeding so far.
     
  15. Real World

    Real World Moderator Staff Member

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    We are in complete agreement Shmess. I happen to feel the same as you just typed above. Like Mossed said, and most others in here as well, we are living in interesting times. No one can really say with certainty what's going to happen, but if I had to guess, I'm with you. I think commodities are the way to go, and that inflation is going to be a problem moving forward. That's why I see oil being expensive, as opposed to cheap. I hope it's cheap, cuz cheap oil will help soften the economic blow, but I just don't see it.
     
  16. State

    State In the Starting Line-Up

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    #70 Jersey

    Ben Stein says we're in a different situation that has caused ruin to many families' hopes. Why this time feels different.

    He says perhaps a restoration of common sense financial practice is the rational response: don't buy crap on credit in order to impress the neighbors.

    Many people have too much house--family size has decreased (there are now more TVs in homes than people) while the house size has sharply increased--and too much of a car payment.

    As Dave Ramsey says, "I give you the same advice your grandmother did, but I just keep the teeth in."

    Cash is king, people need to have a 15-year mortgage, and they need a written budget.

    We need to make do with less. They need to stop using their real estate as piggy banks. They need to save more, not living from paycheck to paycheck.

    I know, easier said than done.
     
  17. PatriotsReign

    PatriotsReign Hall of Fame Poster

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    #18 Jersey

    But...it's all true!
     
  18. PatriotsReign

    PatriotsReign Hall of Fame Poster

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    #18 Jersey

    Here's the latest skinny on the money supply from Business Week;

    "That's probably a bad bet—even given the inflation potential in the Fed's actions. Over the long run, inflation is always caused by too much money in the system. But under the current strained financial conditions, the Fed's prodigious provision of funds is not expanding the money supply as it usually would. The explosive potential for the future is clearly there, but right now each dollar the Fed puts into the economy is yielding only about half the typical impact. More important, the Fed will have plenty of time to drain away this excess before inflation becomes a problem.

    Why? High unemployment and a record amount of idle production capacity will exert downward pressure on wages and prices for a long time. Last quarter, pay and benefits over the past year grew only 2%, down from 3.1% a year earlier and marking a record low. The comparable annual rate over the last two quarters was only 1.3%. Yearly core inflation for consumer prices, omitting the fluctuations in energy and food, was 1.9% in April, down from 2.3% a year ago. Excluding a 29% surge in tobacco prices due to higher excise taxes, core inflation over the past six months is running at 1.3%."


    http://www.businessweek.com/magazin...4.htm?chan=magazine channel_the business week
     

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  19. PressCoverage

    PressCoverage Banned

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    It's not just your opinion.... I, and a lot of people, have been saying the worst is no where near here yet. For a long time now. In fact, Celente and Savinar and Ruppert all predicted a brief cooling off period, even the mirage of recovery this spring, before the bottom drops out. If oil zooms past $100/bl, it's all but over for our economy.

    Inflation, deflation... what's the difference? It all spells chaos and a breakdown in society.

    Imagine if we spent this $8 trillion since Sept., not on failing banks, but in investment in alternative energies and infrastructure? We'd be on the road to some semblance of stasis... instead, we've bailed out entities destined to fail anyway, and ignored the real problem facing mankind. ...
     
    Last edited: Jun 2, 2009
  20. shmessy

    shmessy Maude Staff Member PatsFans.com Supporter

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    #75 Jersey

    All your arguments on this point fail because of tthe one achilles heel to it. You keep on harping on CURRENT conditions. It's been widely stated that the vast majority of the stimulous money reaches the economy between October 2009 and October 2010.

    Give me your data about money supply then.

    I repeat, the big intermediate (3-8 year) threat is from hyperinflation. You and Tanked are completely wrong about fixed 15 year mortgages. At CURRENT low rates, I'm telling my clients to get the LONGEST term fixed mortgage (the spreads between 15-30 are still razor thin) and enjoy your comparative advantage versus inflation for the next several decades.
     
    Last edited: Jun 2, 2009

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