Investing Strategies. What is your move?

[PimTac]

A large number of private jets have been flying into Omaha today. Something is up with the Buffett. Maybe a banking lifeline?


https://www.thestreet.com/banking/svb-collapse-warren-buffett-enters-the-stage

 

[Warstud]

A large number of private jets have been flying into Omaha today. Something is up with the Buffett. Maybe a banking lifeline?


https://www.thestreet.com/banking/svb-collapse-warren-buffett-enters-the-stage

Yes ..........I think your onto something . Just Google Warren Buffet .

 

[PimTac]

This is very interesting. Just announced earlier today.

Coordinated central bank action to enhance the provision of U.S. dollar liquidity.​

“The Bank of Canada, the Bank of England, the Bank of Japan, the European Central Bank, the Federal Reserve, and the Swiss National Bank are today announcing a coordinated action to enhance the provision of liquidity via the standing U.S. dollar liquidity swap line arrangements.”




https://www.federalreserve.gov/newsevents/pressreleases/monetary20230319a.htm

 

[PimTac]

Amazon to layoff an additional 9000 employees.


https://www.cnbc.com/2023/03/20/amazon-layoffs-company-to-cut-off-9000-more-workers.html

 

[Dave Hess]

Amazon to layoff an additional 9000 employees.


https://www.cnbc.com/2023/03/20/amazon-layoffs-company-to-cut-off-9000-more-workers.html

There will be more later this year.

 

[Pablo]

There will be more later this year.

Probably. We’ll hold you to it.

 

[ecotourist]

Why the heck would the FED keep jacking rates??

Central banks all over the world are raising interest rates. They have to raise rates to kill inflation (which is their primary responsibility). And yes that may bring on a recession.

If you remember the late '70s and early '80s you'll know why it's necessary. Over a decade or so my father was wiped out because he didn't understand inflation. Happened to a lot of other retirees who had saved a substantial amount of money but didn't invest it aggressively.

The recent era of almost free money is over - and (as a saver) I think that's a good thing.

 

[PimTac]

Central banks all over the world are raising interest rates. They have to raise rates to kill inflation (which is their primary responsibility). And yes that may bring on a recession.

If you remember the late '70s and early '80s you'll know why it's necessary. Over a decade or so my father was wiped out because he didn't understand inflation. Happened to a lot of other retirees who had saved a substantial amount of money but didn't invest it aggressively.

The recent era of almost free money is over - and (as a saver) I think that's a good thing.

Yep. One bright spot in all of that were Bank CDs. They were paying a nice interest rate.

 

[Pablo]

Some of you start into lectures without reading and understanding what I wrote.

 

[ZeeOSix]

The recent era of almost free money is over

I'm surprised it lasted as long as it did.

 

[SC Maintenance]

Federal reserve balance sheet increase by $300B last week, erasing all QT for the last 6 months. QT is over. If S&P holds 4000 today I might pile in to SPY or TQQQ. Also looking for a way to go against the USD. I did it years ago using CHF, only to wake up one morning to learn the swiss devalued their currency, which I thought they would never do.

https://www.federalreserve.gov/monetarypolicy/bst_recenttrends.htm

 

[PWMDMD]

Central banks all over the world are raising interest rates. They have to raise rates to kill inflation (which is their primary responsibility). And yes that may bring on a recession.

If you remember the late '70s and early '80s you'll know why it's necessary. Over a decade or so my father was wiped out because he didn't understand inflation. Happened to a lot of other retirees who had saved a substantial amount of money but didn't invest it aggressively.

The recent era of almost free money is over - and (as a saver) I think that's a good thing.

Yup, chronic high inflation is a killer but it should not be surprising to anyone that intentionally hurting the economy to control inflation through interest rate hikes will also result in significant pain...but it's significantly less pain than letting inflation run out of control. There is no easy way out and both raising and lowering rates will both cause significant pain in different ways.

 

[Astro14]

Yup, chronic high inflation is a killer but it should not be surprising to anyone that intentionally hurting the economy to control inflation through interest rate hikes will also result in significant pain...but it's significantly less pain than letting inflation run out of control. There is no easy way out and both raising and lowering rates will both cause significant pain in different ways.

Many of us have lived through that pain before. No surprises here…

 

[PimTac]

Another bank on the skids.


https://www.cnbc.com/2023/03/22/pac...es-deposit-outflows-additional-liquidity.html

 

[PimTac]

Fed Chairman Powell is in a real pickle. He needs to raise rates to stay ahead of inflation but at the same time the higher rates are squeezing the banks.

When he stated that there will be just one more rate hike this year that pretty much sets him up for failure. He needs the flexibility. Why he would say that is baffling to most.

Alan Greenspan is shaking his head from above and saying, “ never let them know what you are really saying or thinking .”

 

[Pablo]

Fed Chairman Powell is in a real pickle. He needs to raise rates to stay ahead of inflation...............

That's where I disagree.

The causes of the current inflation are not low business interest rates!

The causes are mainly on the supply side and are also related to free money from .gov.

The only reason for raising rates is to give head room for this coming crash. He now has a little room.

 

[alarmguy]

…
When he stated that there will be just one more rate hike this year that pretty much sets him up for failure. He needs the flexibility. Why he would say that is baffling to most.

Alan Greenspan is shaking his head from above and saying, “ never let them know what you are really saying or thinking .”

I’m scratching my head on that one too.
I’m quite surprised.

 

[PimTac]

That's where I disagree.

The causes of the current inflation are not low business interest rates!

The causes are mainly on the supply side and are also related to free money from .gov.

The only reason for raising rates is to give head room for this coming crash. He now has a little room.

That’s correct that spending out of DC is the primary reason for all of this. Everything else is a domino

 

[alarmguy]

That's where I disagree.

The causes of the current inflation are not low business interest rates!

The causes are mainly on the supply side and are also related to free money from .gov.

The only reason for raising rates is to give head room for this coming crash. He now has a little room.

I don’t see any signs of a crash yet and I don’t see how that is possible with such a low inventory of available house for sale.
We are on opposite sides of the country and understand how viewpoints can certainly be different.
We are now in our new home, been running non stop. Refrigerator arrived yesterday, washer dryer today, new master br, new living rm sofa, new dining rm and possibly new computer desks arriving hopefully today as well.
They can not build the homes fast enough (not kidding as soon as lots to build are released they get bought up) )in this already well established community/golf resort a couple hundred left to go in the final phase. Trees being torn down to make way for the roads .., We are on the first block, it’s incredible all the construction around us.
I myself am taken back, it’s insane. The next block was released for sale a couple months back and sold out right a away, right into another new cul de sac and down the block from that.
It’s not just us either, selling out all over the coastal NC area near the SC border right through down the coast of SC.

Bulldozer next door was digging out the driveway for the house next door at 7:15 this morning LOL

With all that said we have seen a softening of the more expensive home prices, not where we are but some more expensive areas of SC. It would seem only natural with the rate hikes and to me maybe more normal for that market. Whether it continues to soften is an unanswered question but maybe not by much as people from high cost states continue move to the lands of the free.
(We were one of those over a decade ago)

Oh, and by the way, I definitely agree. This is all about the Fed trying to correct the incredible wasteful, budget blowing policies coming out of Washington.
This is not a political statement and it’s been coming from both sides of the aisle for a long time now. ( no politics)
I think that is a given that everybody should know but they probably don’t.

 

[Hillbilly Deluxe]

The "almost free money" from low-interest loans didn't cause this mess.

It was 100% FREE MONEY from the government that caused it.


But only to people that earned $75k or less...... If you made more, you're RICH and you don't get to have any free money. You just get to pay into the system so other people get it.