I just would like to see how things would go if they just said nothing. We don't need false hope. But some of the doom and gloom predictions can be tiring at times. And scary too if I am looking at spending some money.
The positive wording makes sense given the Fed's goals- markets have a strong confidence component and positive words can increase confidence even if the Fed doesn't actually feel all too confident in reality.
The markets are just waiting to jump at any word, good or bad. They go up and down on rumors everyday. If someone says everything is good up they go without checking to see if anything really happens. Then some someone says "no deal" and there they go dropping like a rock. It would be funny if it was not so sad.
That is not at all sad. If someone tells you it will rain tomorrow, will you not be more likely to bring an umbrella with you tomorrow? If they say it will not rain, will you not be less likely to bring an umbrella?
Heck I don't know. My umbrella has probably not been opened in at least 10 years. I just think some of them will fall for anything.
The point is it is not sad. Every logical person reacts to news and expectations. Including you. (Rain is just an example. You can change it to cold temperature or lower gas prices or a power outage or whatever. People react to news and expectations.)
You two are not the only ones who are smart enough to question certain rumors
- some people will question rumors and even news and not act on it, others won't. The more reliable the source and more likely the event, the more likely people will act on it and vice-versa. How reliable something or someone is is subjective after all.
Exactly! Thank you very much!
And my response above stands. You two aren't the only cautious ones - it all gets factored in
Agreed. But there are still too many that will fall for anything they hear or read.And my response above stands. You two aren't the only cautious ones - it all gets factored in
Look how many times the market has been up and tanked over Greece. Just one word that things might work out and up goes oil. Highest since July. They don't even wait for something to happen. Then if it does not work out it will drop like a rock.
Agreed. But there are still too many that will fall for anything they hear or read.
Who is the "they" here? You act as if everyone affecting the price (ironically even you, David, and I play some role albeit probably small in the price) is of the same risk aversion, same knowledge, and all act together. Seriously, you are not the only cautious one. No one knows the future, so everyone goes on judgement calls and yours might be right, yours might be wrong- chances are both and more viewpoints are represented by traders out there.
You saying what you are saying on an internet forum can have an impact. You buying the things you buy does have an impact. You not buying the things you don't buy has an effect. Your productivity at work has an effect. And on and on...
Also, most retirement plans invest in the markets, which is why a large figures of Americans do indirectly or directly own stocks (I think the number is over 100 million if I remember correctly and when you take out the kids, that is quite a large amount of the population).
Similar threads
