Markets react to election - PeachParts Mercedes-Benz Forum

mwood · #1 11-05-2008, 07:25 PM

With the biggest post-election day loss in history; almost 500 points down on the Dow. Is it any wonder? Tell people you're going to increase capital gains tax and they're going to pull their money out before the new laws take effect.

MTI · #2 11-05-2008, 07:30 PM

Take a look at how the market has behaved in the past 30 days . . . what was "the market" reacting to then . . The World Series?

mwood · #3 11-05-2008, 07:34 PM

Quote:

Originally Posted by MTI

Take a look at how the market has behaved in the past 30 days . . . what was "the market" reacting to then . . The World Series?

If you were holding stocks and facing big cap gains taxes if you held on to them, what would you do?

Matt L · #4 11-05-2008, 07:37 PM

Quote:

Originally Posted by mwood

If you were holding stocks and facing big cap gains taxes if you held on to them, what would you do?

Sell very low and you'll pay low taxes regardless of the rate.

The market is so down right now that the only way that your rationalization makes sense is if nobody thinks it will rise again before the taxes are raised.

POS · #5 11-05-2008, 07:43 PM

Quote:

Originally Posted by mwood

With the biggest post-election day loss in history; almost 500 points down on the Dow. Is it any wonder? Tell people you're going to increase capital gains tax and they're going to pull their money out before the new laws take effect.

I agree. For people like me at age 39, I don't need my "market money" anytime soon so I won't be touching it. However, if I was 55-60 years old, and I needed that money in the next few years, I'd be selling off all my market stuff too and paying the current cap gains taxes. It seems highly probable that the cap gains taxes are going to go up. Go ObamiNation!

MTI · #6 11-05-2008, 07:46 PM

Quote:

Originally Posted by POS

However, if I was 55-60 years old, and I needed that money in the next few years, I'd be selling off all my market stuff too and paying the current cap gains taxes.

If you were at that point in life where you "needed that money" you'd be labeled an idiot for having a majority of it is equities anyway.

mwood · #7 11-05-2008, 07:46 PM

No one has a crystal ball. The market went up 300+ points yesterday, so people sold off today while it was up. Get out while there's some value and before they have to pay the big cap gains, not to mention the additional taxes if they make more than $250k. I guess like everything else we'll have to wait and see.

Hatterasguy · #8 11-05-2008, 07:48 PM

The market went up yesterday for no real reason, about 300ish points. I'm not surprised we gave it back today.

MTI · #9 11-05-2008, 07:56 PM

Quote:

Originally Posted by mwood

Get out while there's some value and before they have to pay the big cap gains, not to mention the additional taxes if they make more than $250k. I guess like everything else we'll have to wait and see.

And your experience in the market is what? While it's no longer a market where you can throw darts at the financial page listing to pick stocks that will make money . . . totally getting out of the equity markets regardless of your age, income or financial situation is pretty lame advice.

mwood · #10 11-05-2008, 08:16 PM

Quote:

Originally Posted by MTI

And your experience in the market is what? While it's no longer a market where you can throw darts at the financial page listing to pick stocks that will make money . . . totally getting out of the equity markets regardless of your age, income or financial situation is pretty lame advice.

As usual you opt to with the obtuse. There's no point trying to have any kind of rational discussion with you when you put words into my mouth. Have a good life.

Brian Carlton · #11 11-05-2008, 08:31 PM

Quote:

Originally Posted by mwood

As usual you opt to with the obtuse. There's no point trying to have any kind of rational discussion with you when you put words into my mouth. Have a good life.

Yep, we all know MTI as an obtuse fellow.........never can quite get on point...........not too sharp either............

If you can't have a rational discussion with him...........the PONC again goes to you.

Two in two days........

MTI · #12 11-05-2008, 08:34 PM

There is a tendency for those of us in Hawaii to be "laid back" . . .

Botnst · #13 11-05-2008, 08:35 PM

Aww, I always thought you were acute guy!

G-Benz · #14 11-05-2008, 08:53 PM

Quote:

Originally Posted by mwood

With the biggest post-election day loss in history; almost 500 points down on the Dow. Is it any wonder? Tell people you're going to increase capital gains tax and they're going to pull their money out before the new laws take effect.

Let's see...Obama doesn't actually take office til January 21st, and upon stepping into the Oval Office, drafts up a tax plan that immediately makes the rounds in the Legislative branch, is approved and enacted into law before his coffee gets cold...well HECK!!! Hurry up and sell your stocks NOW!!!!!

Yeah...market reaction is a combination of cool, calm intellectuals with nerves of steel who make cautious buy-and-sell decisions after thorough study...right!

diametricalbenz · #15 11-05-2008, 09:25 PM

Quote:

Originally Posted by MTI

There is a tendency for those of us in Hawaii to be "laid back" . . .

I always assumed Hawaiians were "Type A's" with a skewed sense of logic, no scope of global economics, and without clear conceptions of what winter is.