Stock Market Dump

[bladegunner]

the winds are coming out of progressive liberal sails. Thethe ny don't know how to sail. calm before the storm. some progressives never experienced when the wave hits the beach and have to operate all by their lonesome. the needle finds balance when things get out of balance.that is what's shaking now.

[Blkfyre]

I agree it's greed but Newsom and the Democrats want to impose a tax on oil companies which will be passed on to the consumer.

https://www.npr.org/2022/10/08/1127647965/california-gas-prices-oil-profits-legislature-newsom

Typical tax and spend, where's the .53 a gallon gas tax going now?

From your link:

"It's unclear how the tax Newsom is proposing would work. Newsom said he is still working out the details with legislative leaders, but on Friday said he wants the money to be "returned to taxpayers," possibly by using money from the tax to pay for more rebates."

[Hobby]

The stock market took a huge dump today because inflation is up 8.3% YOY and Biden is saying everything is fine.
I will take mean tweets and cheap gas over President potato head any day.

Stockmarket took big hits during trump

[Romanticlover]

Stockmarket took big hits during trump

That's true but there wasn't $5+ gallon gas, 7% prime rate, 11% inflation and falling housing prices like we have now.

Tesla missed revenue estimate and their stock is sinking after hours, I think that is an omen for all EV.

[Blkfyre]

That's true but there wasn't $5+ gallon gas, 7% prime rate, 11% inflation and falling housing prices like we have now.

Tesla missed revenue estimate and their stock is sinking after hours, I think that is an omen for all EV.

There wasn't a war going on driving up the price of gas either...

[Romanticlover]

There wasn't a war going on driving up the price of gas either...

What about the other price increases I mentioned?
The price of gas was going up in December before the invasion.

Inflation is the #1 concern of voters according to the latest polls.

[dogwalker]

In the US, half of consumer inflation is due to rising gas prices.
Crude oil is the raw material for all plastics which drives up prices of many things.
Gas is required for transportation of goods so increased gas prices drive up the cost of anything that is transported, which seems like almost everything.
Inflation has caused the Federal Reserve to raise interest rates to control it which drives up all interest rates.
When mortgage interest rates rise, housing prices typically fall because affordability is less.
The stock market as a whole is dropping for a variety of reasons but some examples are:
     non-profitable companies would be mainly valued by the cash they have and with inflation the value of that cash drops so therefore the value of the company will drop
     inflation may obviously hurt the sales of some products where cheaper alternatives are available [e.g., expensive Teslas in spite of how some might think an electric vehicle is the solution to high gas prices---one would have to be able to afford a Tesla to save on gas]
     uncertainty---the stock market hates volatile politics and economics.
So as usual the world is highly interconnected.

[Fathernature69]

I agree with dogwalker that gas prices were on the upswing way before Ukraine War. 

We have been releasing a million barrels of oil from the strategic reserve (a smidge of our daily consumption) but enough to force down the oil prices. Our president has just agreed to release another million per day thru the election.  After that who knows, but I assume prices will be heading up as the releases from the strategic reserve will likely end. 

Opec just cut production, which = higher fuel prices for all you horn dogs to drive in 2023. 

[dogwalker]

I forgot to add the effect of the pandemic which may be one of the largest factors in addition to the Russia-Ukraine war that caused the current economic situation.
The pandemic closed many businesses and factories worldwide except those needed for critical items for about 1-2 years.
That created a supply shortage but with little or no decrease in demand and increases in demand in some cases.
That pushed prices higher which caused inflation, etc.......
There are other factors surrounding those issues that made the core issues worse such as many people were unemployed within weeks of the first lockdowns in March, 2020 and often more than a year after it....and now there is a sudden requirement to hire workers back that are no longer available.  So companies offer higher wages to attract workers which also causes inflation. (I saw a sign on a Chic-Fil-A yesterday offering a $20/hr starting wage!) Somehow they have to pay those workers and an easy way to do it is increase the price of their products.
For around 10 years before the pandemic food and gas prices, interest rates, inflation, etc. were very stable.
 

[Danno]

Ukrane war started Feb 24th 2022, gas in California on Jan 22 was $4.58, Feb 22 it was $4.66. By March 22 it was $5.66. Direct results of the war in Ukraine.

I agree with dogwalker that gas prices were on the upswing way before Ukraine War. 

We have been releasing a million barrels of oil from the strategic reserve (a smidge of our daily consumption) but enough to force down the oil prices. Our president has just agreed to release another million per day thru the election.  After that who knows, but I assume prices will be heading up as the releases from the strategic reserve will likely end. 

Opec just cut production, which = higher fuel prices for all you horn dogs to drive in 2023. 

[Blkfyre]

What about the other price increases I mentioned?
The price of gas was going up in December before the invasion.

Inflation is the #1 concern of voters according to the latest polls.

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[Romanticlover]

Another bad day on Wall St: Dow down 600+ pts, Bitcoin down 14% and Zuckerberg is going to layoff 11.000 employees
We are in a recession but Pres. Potatohead keeps saying everything is great.

[Danno]

Stock such as Caterpillar, Deere, and other construction equipment and steel are what to buy. Going up thanks to the infrastructure bill passed by the Democrats.
10 million job openings right now.
couldn't find a place to park at the mall last weekend. restaurants are full everywhere.

[Blkfyre]

Another bad day on Wall St: Dow down 600+ pts, Bitcoin down 14% and Zuckerberg is going to layoff 11.000 employees
We are in a recession but Pres. Potatohead keeps saying everything is great.

Hmmm, apparently, professional financial people have a different opinion than yours, saying that its conservatives who are the ones to blame for the Dow being down:


https://www.barrons.com/livecoverage/stock-market-today-110922

The stock market tumbled Wednesday as votes for the midterm elections continued to trickle in. The market wants to see a red wave, but that wasn't the only thing on investors' minds.

The Dow Jones Industrial Average dropped 647 points, or 2%, while the S&P 500 dropped 2.1%, and the Nasdaq Composite tumbled 2.5%.

It is not hard to find observers who cite the Republican Party's disappointing results for the market selloff.
epublicans are less in favor of heavy fiscal spending, which would be inflationary, and send bond yields even higher. The 10-year Treasury yield has more than doubled this year to just over 4.1%.

"Red wave is more muted than expected, and the market is disappointed," wrote Louis Navellier, founder of Navellier & Associates.

Parts of the market at least. Oil and oil stocks were falling because Republicans are seen as closer to pro-oil, while Democrats will push a clean energy agenda. The price of crude oil fell 3.8% to just under $86 a barrel. The Energy Select Sector SPDR Exchange-Traded Fund (XLE) dropped 4.9%.

[Romanticlover]

So now it's the Republicans fault for not winning enough seats. lol

Q: When do the Democrats take responsibility for fucking everything up?
A: Never, it's always someone else fault