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      11-21-2019, 04:18 PM   #131
WestRace
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Drives: E46 M3, E90 M3
Join Date: Jun 2007
Location: Los Angels, Ca.

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Quote:
Originally Posted by chassis View Post
Thanks WestRace. You are holding mostly cash, right? Does this mean you are mostly, or totally, out of the market? And you are thinking about buying Boeing, is that correct?

Are you generally looking for a reason to get into the market, or for reasons to stay out of the market, as you are now out of the market?
I won't have a direct response but I'll say this.

I've been thinking about it and why the market has been a bit crazy and don't make any sense.

Wall Streets are like any companies - Victoria's Secret, Google, Apple ... Their whole purpose is to make money just like any other corporations. But typical corporations make money by selling products to consumers and in return they receive a profit.

But Wall Streets don't make any products - well at least not the typical "products" we usually think of. They do make products like mortgage backed securities and all sorts of derivatives that they can sell to the consumers for a fee or you can call that profit - not too unlike a casino. But still this may not relevant to the ups and downs of the stock market.

A lot of hedge funds intentionally bid up or bid down the market entirely for the purpose of making money. The headlines news are just side shows or at least being used as an excuse to drive up or drive down the markets. The headlines are like a movie trailers to get you hooked into a specific story line for you to either buying or selling the markets.

Most crashes occur when the market is at close to all time high. It's like the casino version of waiting for all the bids are in before pulling the rugs out under you. I guess you can say this is when wall streets make the most money.

Last edited by WestRace; 11-21-2019 at 04:39 PM..
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