Jump up ^ Coleco Presents The Adam Computer System. May 3, 2016 [1983-09-28]. Event occurs at 44:30. Archived from the original on January 3, 2017. We're doing that with five new television commercials, which have just been completed, and which will be shown in conjunction with the Adam launch date. These commercials are each directed to our target audience, which is composed of our friendly neighborhood children, boys age 8 to 16 and their fathers. We believe those are the two groups that really fuel computer purchases, [boos] and we've directed right at 'em [more boos] - oh, sorry, sorry, sorry, sorry. Women, we've a commercial for you, trust me, but the key point is that our research, which is consumer research, directed that thought [inaudible] from the research, and we've directed our commercials at that target user group.
I am very frightened. This past June, I allowed a financial advisor to convince me that my portfolio made up of primarily stocks was risky for a retiree. I have been retired since 2005 and had held the same stocks since then. These stocks included 2 Canadian banks, BCE, TransAlta, and Emera. I was receiving dividends o $4,800 per year and all the stocks consistently raised their dividends. The financial advisor put me in2 costly mutual funds which proceeded to lose me $ 1800 within days and also swallowed up up my incoming dividends from the former portfolio. By the time I was down $6,000 I panicked and pulled out of the mutual funds. And! This was in 2017. What I have left and what I thought would carry me through my retirement is now in a money market making very little and I am terrified daily as to reinvesting it.
The joint report continued: "At 2:45:28 p.m., trading on the E-Mini was paused for five seconds when the Chicago Mercantile Exchange ('CME') Stop Logic Functionality was triggered in order to prevent a cascade of further price declines. In that short period of time, sell-side pressure in the E-Mini was partly alleviated and buy-side interest increased. When trading resumed at 2:45:33 p.m., prices stabilized and shortly thereafter, the E-Mini began to recover, followed by the SPY".[41] After a short while, as market participants had "time to react and verify the integrity of their data and systems, buy-side and sell-side interest returned and an orderly price discovery process began to function", and by 3:00 p.m., most stocks "had reverted back to trading at prices reflecting true consensus values".[41]
Hi Tamara, a vacation rental property owner in San Diego County I knew did well during the recession. Prices are much higher now and you’ll need to be a very good rental property manager. Take a look at the San Diego Housing market report if you didn’t read it. San Diego’s fantastic and the shortage there will never ease. My opinion is that you need to be a good marketer to keep it rented. If you build up a good database of returning renters, you should be okay. With VRBO and Airbnb, you’ll have extra reach too. With Trump bringing jobs and investment money back home, I can’t see a recession, just volatility and maybe some trade wars!
Network snapshots before (left) and during (right) the simulated flash crash. The last 400 transactions in the order-book are plotted by connecting the HFT agents who transact with each other. The node color indicates the inventory size of the HFT agent. When the market operates normally (left subplot), almost all of the HFT agents are in control of their inventory (greenish color). In crash period (right), most of the HFT agents gain large inventories (red) and the network is highly interconnected: over 85 percent of the transactions are HFT-HFT.[51]
The financial crisis ripped through Wall Street 10 years ago, pushing the global economy to the edge of the abyss. One might think those searing experiences would have created a learning opportunity — for managing risk better, understanding structural imbalances in the financial markets, even learning a bit about how our own cognitive processes malfunction.
What you can do is prepare for the next crash. In fact, regardless of how the stock market is doing today, you should be prepared for a crash – because unexpected events (black swans) can trigger one at any time. You don’t need to wait for the next stock market crash prediction to come along to learn about bear markets, how they occur, why they occur, and what you can do to avoid being wiped out. We prepared this guide for that very reason.

For example, he quotes the very low average household net worth?s of households. Households 45 to 54 have less than $200,000 mean net worth. But when median net worth is taken into account for the same group, the number is closer to $700,000. Doesn't this support current home prices while at the same time highlighting a bigger issue, the widening diversity of haves and have-nots in America? Also, San Diego is presented as the least affordable housing, $379,000 average home vs. $60,000 average income. That's a great fact but does it take into account the large military population that is generally lowly paid but highly transient that may be more renter than buyer in that area? I theorize that these many people are lowering average household income while substantially not trying to purchase homes.
On the other hand, tax increases can have the opposite effect. One potential way to fix the Social Security funding problem would be to raise payroll taxes on employees and employers. There are several ways this could happen, but this would mean lower paychecks for workers and higher expenses for employers, and could certainly be a negative catalyst.
Since Trump has already started a trade war with China and wouldn’t dare attack nuclear-armed North Korea, his last best target would be Iran. By provoking a military confrontation with that country, he would trigger a stagflationary geopolitical shock not unlike the oil-price spikes of 1973, 1979 and 1990. Needless to say, that would make the oncoming global recession even more severe.

October 2018 is turning out to be a lot like October 2008.  The S&P 500 has now fallen for 12 of the last 14 trading days, and it is on pace for its worst October since the last financial crisis.  But the U.S. is actually in much better shape than the rest of the world at this point.  Even though they have fallen precipitously in recent days, U.S. stocks are still up 3 percent for the year overall.  On the other hand, global stocks (excluding the U.S.) are now down more than 10 percent for the year, and they are down more than 15 percent from the peak of the market in January.  All it is going to take is a couple more really bad trading sessions to push global stocks into bear market territory.
Home prices have outpaced income. The average income-to-housing cost ratio is 30 percent. In some metro areas, it's skyrocketed to 40 or 50 percent. Unfortunately, metro areas are also where the jobs are. That forces young people to pay more for rent to be close to a job that doesn't pay enough to buy a house. Thirty-two percent of home sales today are going to first time homebuyers, compared to 40 percent historically, says the National Association of Realtors. Typically, this buyer is 32, earns $72,000, and pays $182,500 for a home. A two-income couple pays $208,500 on average.
In years when there are midterm elections, CFRA says the returns have been erratic, and the S&P has averaged a 1 percent decline in September, going back to 1946. But it's often just temporarily bad news for the market, if history is a guide. In those midterm years, the market most often has rallied in the final quarter for an average gain of 7.5 percent.
Interesting points. To say a 2 billion dollar a day trade deficit is meaningless might be understating it. Running trade deficits every year is dangerous and leads to the recession you’re fearing. It’s the trade policies that make it happen. The global economy was highly dependent on US willing to run huge trade deficits and Europe and China are undergoing withdrawal problems.
As you can see from the numbers Dennis has on the housing market, things are much better than they were before the last crash. Lending guidelines are much tougher no matter what you hear. I see posts on Facebook all the time about how people can get low-money-down loans now, and that means the housing crash is coming. Low-money-down loans have been available for decades, and that is not what caused the housing crash. Really bad loans to people who should not buy houses is what caused the housing crisis. Those loans do not exist anymore, as you can see by the data Dennis provided. Yes, it is possible to get a loan with less than a 600 credit score, but very few people are actually getting those loans. When you look at the housing market, you need to look at the real numbers of how many houses are being built, what kind of loans people are getting, and how much house people can afford. Houses are not being built like they were before. The loans people are getting are much higher quality, and the market is much more stable than it was before.

The current bull market is now in its 10th year. We have no idea when it might end and give way to a bear market. However, it’s inevitable that at some point it will. Twice during 2018 we have already seen a spike in market volatility. This inevitably leads to fears of a market crash. The truth is that a stock market crash can never really be predicted. People who predicted crashes in the past are the same people who predicted crashes in the years they didn’t happen.


While some areas such as the 905 have seen big drops, (houses are sitting and have to be rented now) areas in Toronto have maintained prices.  These neighbourhoods offer a more reliable bet for sustainable property investment value. Many property investors have discovered the hard way, what the word sustainable means in bottom line dollar terms. Because of demand, two hot areas right now are rental property investment and student housing investment.

Yes Bank share price on NSE fell as much as 31.7% to Rs 218.1, their steepest percentage plunge since January 2008, after the Reserve Bank of India asked CEO and MD Rana Kapoor asked to leave. According to a Reuters report, Jefferies has said that it does not subscribe to the view that without Kapoor there is no future for this systemically large bank, or that its financials have been cooked up. Yes Bank shareholders voted in June to extend Kapoor's term for three years, pending approval from the RBI. Earlier this week, late on Wednesday, the Reserve Bank of India (RBI) allowed Rana Kapoor to continue as CEO & MD till 31 January 2019.


Bond strategists have been warning that the second half of September could bring a slight jump in yields because pension funds have been loading up on Treasurys and other bonds before the Sept. 15 deadline for a change in tax laws for corporate sponsors of funds. They believe that buying has depressed yields, which move opposite prices, and the end of those purchases could send yields higher.
However, what I like about the first strategy is that the dollar amounts are limited up front (and we don’t have to make any assumptions about future implied volatility). The worst case scenario is you spend 0.5% of your portfolio every month buying worthless put options. The only way they would all be worthless is if the stock market went almost straight up for the entire year. And in that case, the equity portfolio should do far better than the losses spent on this sort of insurance against a crash.
This book has lots of good statistical information to back up its premises...which seem to boil down to...Buy a home within your means (and he does define how to find that out, which is a good thing if you can't figure it out on your own)...Anticipate that the home market could go down as interest rates rise making your home harder to sell in a pinch (to his credit, he tells you how to avoid that too)...and a few other common sense rules of buying that could be applied to many things. If a person is going to spend 6 figures on anything, you would think that they would take the time to learn what they are doing, but it is obvious to the author and to many other people watchers in the world that too many people just don't put effort into watching where they put their money. So, if you are a person who carefully spends your money without rushing into any purchase, you probably have enough sense to not have to buy this book; and if you are person who is just the opposite, you probably aren't too concerned even now about learning anything about your home purchase, so you aren't even reading this review. Last note: if you were going to buy properties to use for investment purposes, this book could be of assistance. Hope this helps.

Hi Jack, I can’t offer advice and I can’t imagine a first time buyer buying in North County. Oceanside home prices are up 11% in the last year, so a lot of buyers/investors are optimistic. I don’t see availability improving much in San Diego County and with the economy so strong, things look good. However, with geo political uncertainty, you need to be able survive a crash anytime in the next 5 years!


I have been an agent and real estate investor since 2001. I have seen the good times in the early 2000’s, worked through the housing crash, and the good times again. A lot of people think we are due for anther housing market crash because housing prices have increased in many areas of the country. Besides prices, there are many things that drive the housing market. In fact, prices cannot be used as an indicator of what the market will do because they are just a result of many other factors. Supply and demand are what push prices up or down. Supply is affected by foreclosures, homeowners’ willingness to move, new construction, and many other factors. Demand is driven by the economy, lending guidelines, potential homeowners confidence, wages, and much more. I believe the supply and demand affecting today’s’ housing market is much different than what drove the last housing boom. While prices could level out or decrease in some areas, I do not think we are in for a nationwide crash.
In 2013, the stock market finally recovered. In the first six months, it gained more points than in any year on record. Stock prices rose faster than earnings, creating an asset bubble. The Dow set over 250 closing records until February 2018. Fears of inflation and higher interest rates almost sent the Dow into a correction. Like many other past stock market crashes, it did not lead to a recession.
The full effects of the industry crash would not be felt until 1985.[38] Despite Atari's claim of 1 million in sales of its 2600 game system that year,[39] recovery was slow. The sales of home video games had dropped from $3.2 billion in 1982[40] to $100 million in 1985.[41] Analysts doubted the long-term viability of the video game industry,[42] but following the release of the Nintendo Entertainment System, the industry began recovering, with annual sales exceeding $2.3 billion by 1988, with 70% of the market dominated by Nintendo.[43] In 1986, Nintendo president Hiroshi Yamauchi noted that "Atari collapsed because they gave too much freedom to third-party developers and the market was swamped with rubbish games". In response, Nintendo limited the number of titles that third-party developers could release for their system each year, and promoted its "Seal of Quality", which it allowed to be used on games and peripherals by publishers that met Nintendo's quality standards.[44]

Indian stock markets witnessed a steep and sudden sell-off in the afternoon deals on Friday. Rajat Sharma of Sana Securities told FE Online that stock markets are "extremely overvalued" and Sensex can fall even 2,000 points from here while NSE Nifty can correct by about 1,000 points. "Nothing has changed fundamentally, I mean we have the same macro-economic situation, etc, but when a sell-off happens, nobody can predict, Rajat Sharma said further. 
However, what I like about the first strategy is that the dollar amounts are limited up front (and we don’t have to make any assumptions about future implied volatility). The worst case scenario is you spend 0.5% of your portfolio every month buying worthless put options. The only way they would all be worthless is if the stock market went almost straight up for the entire year. And in that case, the equity portfolio should do far better than the losses spent on this sort of insurance against a crash.

On Friday, September 19, the Dow ended the week at 11,388.44. It was only slightly below its Monday open of 11,416.37. The Fed established the Asset-Backed Commercial Paper Money Market Mutual Fund Liquidity Facility. It loaned $122.8 billion to banks to buy commercial paper from money market funds. The Fed's announcement confirmed that credit markets were partially frozen and in panic mode.
This begs the salient question: How much lower will the growth rate of earnings be in 2019 for the S&P 500? Earnings growth in 2018 peaked at 25%. However, with the top global economies all rolling over, peak corporate margins, trade wars, the waning of repatriation and stock buybacks, soaring worldwide debt and trillion dollar U.S. deficits, mounting rate hikes from global central banks and a Fed that is destroying $600 billion this year through its reverse QE program, it is doubtful that there will by any earnings growth at all next year. Nevertheless, Wall Street Shlls are still pricing in 10% earnings growth and slapping a big multiple on top of it.
The real estate market turns downward. Homeowners and commercial property owners often suffer severe financial loss after a stock market crash (like the loss of a job or significantly reduced demand for housing.) That scenario picks up steam and causes demand for new homes and apartments to fall, even as property owners may suddenly be unable to afford their loan payments, leading to property foreclosures and personal bankruptcies.

Fourth, other US policies will continue to add stagflationary pressure, prompting the Fed to raise interest rates higher still. The administration is restricting inward/outward investment and technology transfers, which will disrupt supply chains. It is restricting the immigrants who are needed to maintain growth as the US population ages. It is discouraging investments in the green economy. And it has no infrastructure policy to address supply-side bottlenecks.
Shares in public companies can be traded. The stock market is just like any market. Think of the ASX as Gumtree, but for pieces of ownership of massive companies. When shares change hands, the buyer and seller agree on a price, and we find out the share price. We get a new share price every time a new trade happens (which can be hundreds of times a minute). Over time that share price can go up or down.
Throughout his presidency, questions arose from his handling of various events, including one self-inflicted crisis after another. Tensions rose as he fired Michael Flynn and then FBI director James Comey. The selloff on the morning of May 17, 2017 occurred after reports that Comey was asked to drop the formal investigation into Flynn. If these allegations are true, this could represent the same sort of obstruction of justice which lead to the impeachment calls and, ultimately, resignation of President Richard Nixon.
Most importantly, China’s debt binge was taken up in record time; soaring by over 2,000% in the past 18 years. And this earth shattering debt spree wasn’t used to generate productive assets. Rather, it was the non-productive, state-directed variety, which now requires a constant stream of new debt to pay off the maturing debt. Therefore, the schizophrenic communist party is caught between the absolute need to deleverage the economy; and at the same time, trying to maintain the growth mirage with additional stimulus measures.
Hi Christine, I can’t offer advice. There is a lot of risk in 2020. Trudeau may botch the trade negotiations and that could could start a Toronto slide. Without the auto sector, Whitby and Oshawa could get hit hard. Good thing is Trudeau could be gone next year and the Americans might listen to a new conservative government. Harper’s already visited the back door at the white house. From here to 2020 could be rough in Canada. Good luck with your sale.
Network snapshots before (left) and during (right) the simulated flash crash. The last 400 transactions in the order-book are plotted by connecting the HFT agents who transact with each other. The node color indicates the inventory size of the HFT agent. When the market operates normally (left subplot), almost all of the HFT agents are in control of their inventory (greenish color). In crash period (right), most of the HFT agents gain large inventories (red) and the network is highly interconnected: over 85 percent of the transactions are HFT-HFT.[51]
The S&P 500 ended 1999 at  1,469 and was recently at 2,814. That's an increase of 92% -- almost doubling -- over the nearly 19 years represented in the table, and it represents an average annual gain of about 3.5%. That's well below the average annual gain, driving home the lesson that over any particular investment period, your average returns may be well above or below average.
The next day, "Black Tuesday", October 29, 1929, about 16 million shares traded as the panic selling reached its peak. Some stocks actually had no buyers at any price that day ("air pockets"[citation needed]). The Dow lost an additional 30 points, or 12 percent.[11][12][13][14] The volume of stocks traded on October 29, 1929, was a record that was not broken for nearly 40 years.[12]

Some of these motivations come from people all following each other, trying to predict the exact economic actions of other people all engaged in the same activity. (People who bought a stock at too high a price are looking for greater fools to unload it on.) While the market's open, everyone's trying to figure out the optimal value for the price of every stock everywhere. It's exhausting to think about the trillion or so variables that go into that immense labor of capitalism. It's crazy to consider how complicated the chains of cause and effect and overthinking are.


DSP Mutual Fund sold Dewan Housing bonds this week to boost its cash holdings before an expected tightening of market liquidity in September, Kalpen Parekh, president of DSP, said in an interview. The firm sold 3 billion rupees ($41.6 million) of the bonds to express “our interest view, not a credit view,” Parekh said. “This has been done across issuers over last few days.”
Of course they are, that is why there are so many EU 27 trolls on here especially German ones like H/BLUFF and PIETER, WTO is OUR ACE CARD if ONLY MAY had played it properly, thankfully the EU will have to listen as that card WILL come into play automatically now, as BRINO will be REJECTED, and no deal WTO is by default, as legislated and now set in UK law, time to get her out, and a BREXITEER in, and threaten the EU properly with it, OUR WAY ON OUR TERMS OR WE DESTROY YOU.
The stock market crash of 1929 – considered the worst economic event in world history – began on Thursday, October 24, 1929, with skittish investors trading a record 12.9 million shares. On October 28, dubbed “Black Monday,” the Dow Jones Industrial Average plunged nearly 13 percent. The market fell another 12 percent the next day, “Black Tuesday.” While the crisis send shock waves across the financial world, there were numerous signs that a stock market crash was coming. What exactly caused the crash – and could it have been prevented?
Perhaps the likeliest reason for the next stock market crash could be an escalating trade spat between the United States and China. After the U.S. initially placed tariffs on $34 billion worth of Chinese goods, China retaliated with tariffs of its own on an equal value of imported U.S. goods. Now the two sides are threatening to one-up the other with tariffs.
Until 1982, few third-party console games existed other than Activision's. Imagic and Games by Apollo demonstrated their own 2600 cartridges in January 1982, and Coleco announced several 2600 and Intellivision games. Parker Brothers, CBS Video Games, and Mattel also announced 2600 cartridges at the February Toy Fair, and Coleco announced the ColecoVision. At the Summer 1982 Consumer Electronics Show, 17 companies including MCA Inc. and Fox Video Games announced 90 new Atari games.[25] By 1983, an estimated 100 companies were vying to get a foothold in the video game market.[4]
The portfolio I am testing in this study purchases 2-month 0.5 delta puts on the S&P 500 Composite Index (approximately 30 percent out of the money, in the case of a 40 percent implied volatility) at the start of each strategy period at an assumed 40 percent volatility level…. After every month, the 2-month put options position is rolled (the existing options are sold and new 2-month puts are purchased, which resets the position every month)… Each month the portfolio spends one half of one percent on puts, and the remaining 99.5 percent stays invested in the S&P index.
Since February 2013, the broad market has three circuit breakers tied to the performance of the S&P 500 index. If it loses 7%, 13%, or 20% of its value compared to the previous days close, trading halts for a period of time. If anything can be considered a stock market crash, it's hitting these circuit breakers.Remember, Black Monday (October 19, 1987) saw the DJIA lose 22.6% in a single day.

Shortly after the crash, the Federal Reserve decided to intervene to prevent an even greater crisis. Short-term interest rates were instantly lowered to prevent a recession and banking crisis. Remarkably, the markets recovered fairly quickly from the worst one day stock market crash. Unlike after the stock market crash of 1929, the stock market quickly embarked on a bull run after the October crash. The post-crash bull market was driven by companies that bought back their stocks that that the considered to be undervalued after the market meltdown. Another reason why stocks continued to rise after the crash was that the Japanese economy and stock market was embarking on its own massive bull market, which helped to pull the U.S. stock market to previously-unforeseen heights. After the 1987 stock market crash, as system of circuit breakers were put into place to electronically halt stocks from trading if they plummet too quickly.
The panic began again on Black Monday (October 28), with the market closing down 12.8 percent. On Black Tuesday (October 29) more than 16 million shares were traded. The Dow Jones Industrial Average lost another 12 percent and closed at 198—a drop of 183 points in less than two months. Prime securities tumbled like the issues of bogus gold mines. General Electric fell from 396 on September 3 to 210 on October 29. American Telephone and Telegraph dropped 100 points. DuPont fell from a summer high of 217 to 80, United States Steel from 261 to 166, Delaware and Hudson from 224 to 141, and Radio Corporation of America (RCA) common stock from 505 to 26. Political and financial leaders at first affected to treat the matter as a mere spasm in the market, vying with one another in reassuring statements. President Hoover and Treasury Secretary Andrew W. Mellon led the way with optimistic predictions that business was “fundamentally sound” and that a great revival of prosperity was “just around the corner.” Although the Dow Jones Industrial Average nearly reached the 300 mark again in 1930, it sank rapidly in May 1930. Another 20 years would pass before the Dow average regained enough momentum to surpass the 200-point level.
The real estate market could collapse if banks and hedge funds returned to investing in risky financial products. These derivatives were a major cause of the financial crisis. Banks sliced up mortgages and resold them in mortgage-backed securities. These securities were a bigger business than the mortgages themselves. That's why banks sold mortgages to just about anyone. They needed them to support the derivatives. They sliced them up so that bad mortgages were hidden in bundles with good ones. Then when borrowers defaulted, all the derivatives were suspected of being bad.
Any of the measurements people quote—any of the stock market indexes which go up and down—are just measurements. They're averages. They're big bundles of numbers all mixed together. In all truth, they only reflect a snapshot of a point in time. They're numbers that stocks happened to end on when trading stopped for the day (or, at least, paused until after hours trading took over).
Hi Kesh. You’re welcome. I can’t advise you however if you check the Toronto condo market during February, you’re giving the market time to bottom out. Anything under $500k will in extreme demand because of the stress test rules. $900 a square foot is scary, especially for a 1 bedroom. However, immigration is rising fast, there’s not much inventory, and there is a lot of reason to consider the possibility of a housing boom rather than a housing crash. The government doesn’t want to sincerely increase supply, so they’re going to try to kill demand. That’s where they run the risk of killing an economy that’s still dependent on real estate. But Millennials need somewhere to live as do all these new immigrants. The question you should consider before buying is will Trudeau and Wynne get routed out of office before they create a recession? Are you investing or do you need to live in the unit?
Global cues: The subdued Asian markets have also weighed on market sentiment. Brokers said weakness was seen in most Asian markets as high US yield and good economic data led to fear that investors would move to the US, dampened trading sentiments there. Japan's Nikkei was trading 0.46 per cent down at 23,999 as investors took profit from its recent rally to a 27-year high. Meanwhile, Hong Kong's Hang Seng dipped over 1.50 per cent at 26,628.64.
By July 8, 1933, the Dow was down to 41.22. That was a 90 percent loss from its record-high close of 381.2 on September 3, 1929. It was the worst bear market in terms of percentage loss in modern U.S. history. The largest one-day percentage gain also occurred during that time. On March 15, 1933, the Dow rose 15.34 percent, a gain of 8.26 points, to close at 62.10.

It’s also in Christian and Western history. Originally the Jews cornered the market on charging interest on loans and their successful business innovation of making loans for profit is what has led to capitalist growth and the lifting of billions from poverty and starvation globally. Interest isn’t greed, its the time value of money. And modern “targeted” interest rates in the U.S. and elsewhere are government-subsidized giveaways to whomever can qualify for them.

Or it may not be. Think about it. Doomsayers have pointed to any number of reasons in recent years why they believed the market was headed for a downturn: Standard & Poor's downgrading of U.S. Treasury debt in 2011; the growth-slowdown scare in China that sent stock prices down 12% in the summer of 2015; Brexit and the election of Donald Trump, both of which were supposed to be catalysts for a market rout. But none of these warnings panned out.


Hi Mike, I would say yes, see the https://gordcollins.com/real-estate/mississauga-real-estate-forecast/ post on those trends. Milton has no room to grow with everyone wanting to live there. They’ll get the free trade deal resolved and Doug Fords new plan to expand northward into farm country will stimulate the economy like crazy. Detached in Mississauga/Milton are rare finds so not surprising Milton has the 3rd lowest days on market in the GTA. Once Ford is in, the prices will rise because he probably will turn the economy on.
Shortly after the crash, the Federal Reserve decided to intervene to prevent an even greater crisis. Short-term interest rates were instantly lowered to prevent a recession and banking crisis. Remarkably, the markets recovered fairly quickly from the worst one day stock market crash. Unlike after the stock market crash of 1929, the stock market quickly embarked on a bull run after the October crash. The post-crash bull market was driven by companies that bought back their stocks that that the considered to be undervalued after the market meltdown. Another reason why stocks continued to rise after the crash was that the Japanese economy and stock market was embarking on its own massive bull market, which helped to pull the U.S. stock market to previously-unforeseen heights. After the 1987 stock market crash, as system of circuit breakers were put into place to electronically halt stocks from trading if they plummet too quickly.
Without question, Warren Buffett and the rest of Berkshire Hathaway's (NYSE:BRK-A) (NYSE:BRK-B) investment team incorporate many different metrics when evaluating prospective companies to acquire and stocks to buy. However, Buffett himself has mentioned one specific metric as the best indicator of stock valuations, and it has appropriately been nicknamed the "Buffett Indicator" in the investing community. Here's what the Buffett Indicator is, and why it may be signaling that the stock market is a bit overheated.

Job one in the midst of a stock market crash is to be aware of your own exposure to the market. Are you highly leveraged as a margin investor? Is your investment portfolio overly weighted with riskier growth stocks or other more-speculative stocks? Has your personal financial situation changed significantly over the course of a 24-hour market collapse?
So take this time to go over your holdings and tally up how much you have in stocks and how much in bonds. If you're not sure of the asset make-up in some of your investments — which may be the case if you own funds that invest in a combination of stocks and bonds — plug the names or ticker symbols of your funds into Morningstar's Instant X-Ray tool, and you'll see how your portfolio overall is divvied up between stocks, bonds and cash.

We continue to see the trend in shares remaining up, as global growth remains solid helping drive good earnings growth and monetary policy remains easy. However, the risk of a correction over the next two months still remains significant given the threats around trade, emerging market contagion, ongoing Fed rate hikes, the Mueller inquiry in the US, the US mid-term elections and Italian budget negotiations. Property price weakness and approaching election uncertainty add to the risks around the Australian share market.
As an investment banker who buys blocks of mortgages around America this is an important subject as to whether the value of my collateral will deteriorate. Talbott does a good job presenting his case that there is a relationship between household income and housing prices. His point is well taken that low interest rates have fueled this boom and that when rates rise, housing prices will have to come down. So, from the perspective of his thesis, I found this to be well written and well documented even if I agree there is a risk but do not believe that it will be significant.
The Housing Bellwether Barometer is an index of homebuilders and mortgage companies. In 2017, it skyrocketed like it did in 2004 and 2005. That's according to its creator, Stack Financial Management, who used it to predict the 2008 financial crisis. Similarly, the SPDR S&P Homebuilders ETF has risen 400 percent since March 2009. It outperformed the S&P 500 rise of 270 percent.

Global cues: The subdued Asian markets have also weighed on market sentiment. Brokers said weakness was seen in most Asian markets as high US yield and good economic data led to fear that investors would move to the US, dampened trading sentiments there. Japan's Nikkei was trading 0.46 per cent down at 23,999 as investors took profit from its recent rally to a 27-year high. Meanwhile, Hong Kong's Hang Seng dipped over 1.50 per cent at 26,628.64.
The CAPE ratio (also known as Shiller P/E ratio) is a long term cyclically adjusted measure of equity valuations devised by the respected economist Robert Shiller. The CAPE ratio has been at historically high level for several years, although high valuations alone do not mean a crash is imminent. Whether US stock prices today are in a stock bubble or not is debatable. In general, bubbles do not necessarily imply a crash, unless there is a catalyst.

Without question, Warren Buffett and the rest of Berkshire Hathaway's (NYSE:BRK-A) (NYSE:BRK-B) investment team incorporate many different metrics when evaluating prospective companies to acquire and stocks to buy. However, Buffett himself has mentioned one specific metric as the best indicator of stock valuations, and it has appropriately been nicknamed the "Buffett Indicator" in the investing community. Here's what the Buffett Indicator is, and why it may be signaling that the stock market is a bit overheated.
Research at the Massachusetts Institute of Technology suggests that there is evidence the frequency of stock market crashes follows an inverse cubic power law.[15] This and other studies such as Prof. Didier Sornette's work suggest that stock market crashes are a sign of self-organized criticality in financial markets.[16] In 1963, Mandelbrot proposed that instead of following a strict random walk, stock price variations executed a Lévy flight.[17] A Lévy flight is a random walk that is occasionally disrupted by large movements. In 1995, Rosario Mantegna and Gene Stanley analyzed a million records of the S&P 500 market index, calculating the returns over a five-year period.[18] Researchers continue to study this theory, particularly using computer simulation of crowd behaviour, and the applicability of models to reproduce crash-like phenomena.
1st, sorry you lost your home. That said, had you read your loan documents you’d have seen the language advising you that loans are bought and sold on the secondary market all the time and the originator did not NEED your permission to do so. The sale of your loan to another bank, investor, Fannie, etc., had no effect on your payment, interest rate, term, etc. So the sale of your loan, regardless of how many times it was repackaged and sold, did not cause you to lose your house. If along the way the new holder of your “note” did not have an auto pay option, that was up to you follow up on and find out exactly HOW/WHERE they wanted you to make your payment. Again, sorry you lost your home, but the sale of mortgage backed securities (your loan) has no effect on the Payor (you) as terms cannot be altered (now THATS something they would need your approval on). The only way an eventual noteholder could foreclose on you is if you failed to make your payments as required…Did you stop making payments for some reason? A lot of good people got hurt in the crisis but there seems to be more to this than a repeated sale of the original note…I’ve been in my present home 26 years, have had several mortgages sold and sold again with no issues…most important thing is to confirm with your present lender that they had, in fact sold your note and the party telling you they now own your note are, in fact, who they say they are. Best of luck.

Perhaps the likeliest reason for the next stock market crash could be an escalating trade spat between the United States and China. After the U.S. initially placed tariffs on $34 billion worth of Chinese goods, China retaliated with tariffs of its own on an equal value of imported U.S. goods. Now the two sides are threatening to one-up the other with tariffs.
After the experience of the 1929 crash, stock markets around the world instituted measures to suspend trading in the event of rapid declines, claiming that the measures would prevent such panic sales. However, the one-day crash of Black Monday, October 19, 1987, when the Dow Jones Industrial Average fell 22.6%, was worse in percentage terms than any single day of the 1929 crash (although the combined 25% decline of October 28–29, 1929 was larger than October 19, 1987, and remains the worst two-day decline ever).[citation needed]

Plummeting rupee: The domestic currency has set a fresh record this morning at 73.77 against the US dollar, after breaching the 73 mark yesterday. This weighed heavily on investor sentiment. It has depreciated nearly 14 per cent in the year so far. Meanwhile, the dollar has strengthened, boosted by a spike in Treasury yields following upbeat US data and the hawkish stance of the US Federal Reserve.


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