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[Ether_Snake]

ERTS cuts forecast. I was thinking of selling some TTWO shares (the ones in my CELI, or non-taxable account), but ended up keeping them, thinking "in due time TTWO will be bought, at more than what I paid for". But I don't feel good about any gaming company right now.

Good thing at least that console prices have been going down, but soon enough game prices will have to do the same. 2010 will be brutal I think, too competitive.

 

[Ether_Snake]

THQI is crashing. It was down 6% one second, and now 7.5%.

 

[Javaman]

Just a random thought... Some people use commodities or housing as an inflation hedge. Wouldn't stocks also be inflation protected? As the value of the dollar drops wouldn't the price of a stock would go up the same amount? Assuming the valuation of the company/ies haven't changed.

 

[RSTEIN]

Just a random thought... Some people use commodities or housing as an inflation hedge. Wouldn't stocks also be inflation protected? As the value of the dollar drops wouldn't the price of a stock would go up the same amount? Assuming the valuation of the company/ies haven't changed.

First, how do you define "stocks?" The market is made of many stocks. Some companies can insulate themselves from inflation more than others. For example, a grocer like Kroger can adjust their prices relatively easily. So if commodities like grain and pork are rising, Kroger can pass these prices along to consumers. If consumers are not sensitive to the price change (read up on elasticity of demand) then they will keep on buying and Kroger can maintain their margin on the item.

Other companies get hammered by rising costs. Think car companies, heavy equipment manufacturers. Companies that cannot adjust their prices quickly. E.g. a steel mill that has guaranteed their product at a certain price. If they haven't locked in their raw material cost then they get screwed. Inflation can wreak havoc in all sorts of places. Interest rates skyrocket. Demand for home loans fall. Banks get screwed if the yield curve is flat. Etc. etc.

Inflation helps entities that sell debt. They can pay their debt back with "cheaper" dollars. Raw goods or commodity producers that sell at the spot price benefit big time.

The US economy is 2/3 consumer. So high inflation is a killer. A little bit of inflation is good. It greases the wheels a bit.

 

[Javaman]

First, how do you define "stocks?" The market is made of many stocks. Some companies can insulate themselves from inflation more than others. For example, a grocer like Kroger can adjust their prices relatively easily. So if commodities like grain and pork are rising, Kroger can pass these prices along to consumers. If consumers are not sensitive to the price change (read up on elasticity of demand) then they will keep on buying and Kroger can maintain their margin on the item.

Other companies get hammered by rising costs. Think car companies, heavy equipment manufacturers. Companies that cannot adjust their prices quickly. E.g. a steel mill that has guaranteed their product at a certain price. If they haven't locked in their raw material cost then they get screwed. Inflation can wreak havoc in all sorts of places. Interest rates skyrocket. Demand for home loans fall. Banks get screwed if the yield curve is flat. Etc. etc.

Inflation helps entities that sell debt. They can pay their debt back with "cheaper" dollars. Raw goods or commodity producers that sell at the spot price benefit big time.

The US economy is 2/3 consumer. So high inflation is a killer. A little bit of inflation is good. It greases the wheels a bit.

Thanks for the info. I guess I should narrow that down a bit to indexes. I can see that inflation would effect individual companies quite differently, but taken as a whole, I would think that inflation would end up being a wash when holding index funds for long term. IE, dollar drops in value and the stock (index) price goes up roughly the same amount.

 

[Gallbaro]

Anyone looking at buying some puts for Amazon? Considering that an apple reader will take a considerable hit out of their NPV.

EDIT: And calls on VZ, considering the good chances of avoiding AT&T's already stretched network.

I have not been able to look at any chains.

 

[kathode]

I've been so out of it I didn't even know NFLX was reporting today. They blew away expectations and looks as though shorts are getting/going to get squeezed as it's currently up 13% after hours. Woo!

 

[Gummifaust]

WAMUQ is up almost 52% today. Must....not....sell....

 

[RSTEIN]

so how 'bout dem markets?

 

[mckmas8808]

so how 'bout dem markets?

 

[Neo C.]

With Greece in big trouble and other European countries nearing bankruptcy, how are the chances for financial crisis 2.0?

 

[Zyzyxxz]

With Greece in big trouble and other European countries nearing bankruptcy, how are the chances for financial crisis 2.0?

Who doesn't love a double fudge dipped with sprinks recession!

 

[WingM@n]

With Greece in big trouble and other European countries nearing bankruptcy, how are the chances for financial crisis 2.0?

Problems in the Ukraine, Portugal, Spain and Greece could easily trigger huge problems in countries like the UK, Germany, The Netherlands,Luxemburough and Switserland.
And when that happens a domino effect will be triggered throughout the whole world.
It's not the question ' if there will be another crisis' , but ' when' .

Stay out of financial stocks for a few years, because they will implode again .

 

[Neo C.]

It's not the question ' if there will be another crisis' , but ' when' .

Do you imply that those countries won't be able to solve their financial problems?
If your answer is yes, I guess the crisis will already take effect this year.

 

[Maxwell House]

The when has occurred IMO. 2010 is going to be very rough for the equity markets, I believe. I am glad I moved my 401k into 100% bonds in November 2009.

I think we can easily lose another 10 to 30% on the SP500 from here until year end.

 

[Neo C.]

I think we can easily lose another 10 to 30% on the SP500 from here until year end.

Great, I've just recently invested in a fund.:lol
On the plus side, the lower the price in the next few months, the more I can buy in volume.

 

[ArtG]

THQ is popping another 7% today. Another pop based on their quarter? I really don't understand the surge outside of that.

Want to get into the stock at some point, but am hoping that the stock pulls in the reins. THQ's been building up some solid properties, combined with their cost cutting measures--but don't really want to enter when it's shooting to the upside.

 

[saltinekracka]

So, when can we start buying Toyota? It's taken quite a dive.

 

[mckmas8808]

Looks like the EU will save Greece. YAY!!

 

[Tarazet]

Surprised this thread hasn't been more active. Been holding LVB (Steinway pianos) for the past month and made a tidy profit after earnings. I need to get into technical analysis so that I can look at stocks with a more critical eye, though. Also, I looked at my history recently and found that the amount of money I've lost was exactly the same as the commission fees I've paid out, not very encouraging..

 

[kathode]

Yeah I haven't been doing much active trading. I bought some calls on QCOM a couple weeks ago and took ~70% loss. That sucked, although it was a small amount of money overall.

I then made 20% profit on some SPY calls which did a lot to assuage my ego but not a whole lot to help my wallet. Been playing around with small bets since a lot of my money is tied up in straight-up stock purchases right now.

Considering going all-in (with my 'play money') on some earnings bets. Who needs fingernails anyway? :lol

 

[Tarazet]

Indicators are showing an overbought market, but no sell signal yet. Though to be honest, I tried looking for the indicators that could tell me the difference between a bear market and a bull market using Yahoo's technical analysis tools to analyze SPY, and I couldn't find any. ROC was the closest, but everything just looks like predictors rather than leading indicators.

I'm going to do some "paper trades" before I take any more death-defying bets with my money.

 

[koam]

Sweet, I just realized a shitload of money was deposited into my account. No idea why. I went and checked and it was because I had bought a bunch of RIMM stocks during the crash and the stock hit my high selling price that I set a while back

 

[Ether_Snake]

I got ERTS, TTWO, BHI, CAE, STP, XOM, and ATVI right now. Bought ERTS a few weeks ago, probably planning to sell at 20 if it ever gets there, not a huge win really. XOM I'm a bit in the red on since I bought at 70. BHI I'm back in the green on finally, might sell soon. Got rid of HON when it was back in the green after being red for so long, I even made some good profits and of course got dividends during all that time anyway.

STP is my worst stock right now. That thing will either pop or die.

 

[Biff]

Sweet, I just realized a shitload of money was deposited into my account. No idea why. I went and checked and it was because I had bought a bunch of RIMM stocks during the crash and the stock hit my high selling price that I set a while back

:\

Why set a high sell point? Why not just monitor your portfolio once a month (should be at least once a week, really)?

I expect RIMM to hit $100+ in the next 12 months - it's incredibly undervalued right now. Many analysts believe so too. You could have stood to make 30-50% more...

Just some friendly advice

 

[Ripclawe]

Bless you Ford for not taking bailout cash and almost tanking last year. *kisses*

I do need to branch out and hit a safe consumer stock, but I can't think of any low priced company that won't crash but not skyrocket. Any suggestions?

 

[Ether_Snake]

Nice returns but you buy way too few stocks, isn't the commission eating away at those earnings? I rarely buy for less than $1000 if I buy anything.

 

[RumblingRosco]

My purchases have been great for me recently. I bought tons between November '08 and February '09, and they are paying off.

I also bought Anthracite Capital around June 08 I believe. I am currently down 99.66% on it. It got to the point that selling it would cost more than the revenue I'd pull in, due to the transaction cost and the ridiculous amount of shares I bought of it. Now that chapter 7 has been filed, it'll die and be off my portfolio, so I guess things will be looking much better for me when I load up my finance page from here on out. :lol

Also, I'm wanting to get the hell out of ATVI. I have a bad feeling about it is all. Probably will sell it in the next week or two.

 

[Ether_Snake]

I'm gonna wait on ATVI. As much as they can fuck up (I think relations with Blizzard are probably shit), there is no way they can fall off on a short term. Star Craft 2, Diablo 3, WoW Cataclysm, and then probably some sort of announcement of something new from them. A few CoD here and there too.

But management is truly shit, everything that they actually do (anything non-IW and non-Blizzard) has been a big flop. Blur was their initiative, and it will tank. That Russian psychic-power game I always forget the name of will definitly also be a big flop, I don't even know if it still exists. Tony Hawk was the worst idea ever with the giant plastic skateboard. Etc. etc. etc.

I'm definitly now more confident on ERTS' chances of going up, which is why I bought some recently. They just have to be really really streamlined.

I could sell BHI now that I'm back in the green with it, but I'll hold out a bit.

 

[RSTEIN]

Just bought some SPY SEPT $115 puts.

 

[Poody]

just invested $500 each on citigroup and hunginton bancshare. Also bought 70 shares of ford motor company

 

[kathode]

Citigroup has been good to me. I have Jan 2011 $4 calls on C that are doing awesome. Also bought some $10 calls on C for the same timeframe :lol We'll see.

NFLX is just about a 100% gain for me now. I plan on holding that one the full year.

 

[Lucis]

jan 12th
i bought some BIDU call for 440 that expires in apr, then GOOG annouced they exciting china.
i swear it's not the chinese government that hacked GOOG, it's the option traders.

...
in my dream =(

 

[Poody]

Markets up all around doing well.

Is it a good idea to pump more money to citigroup and ford as my long term investments?

 

[kathode]

Just bought some SPY SEPT $115 puts.

Did you sell or are you still holding? Thinking about jumping in today as things are heading up, but might wait another day.

C is killing it, awesome.

 

[RSTEIN]

Did you sell or are you still holding? Thinking about jumping in today as things are heading up, but might wait another day.

C is killing it, awesome.

Bought some more, but on XLI (industrial ETF).

I may buy some more by the end of the day, but on the XLF.

 

[kathode]

I'm in the pool on SPY $117 puts for June.

 

[Poody]

considering purcahsing Nintendo shares with todays news--anyone think thats a good idea? Looks revolutionary

 

[Ovid]

Did you sell or are you still holding? Thinking about jumping in today as things are heading up, but might wait another day.

C is killing it, awesome.

The common stock will continue with modest gains price until the June preferred to common share conversion. As I've always said it's best to purchase the preferred stock if you're planning to go long with Citigroup.

considering purcahsing Nintendo shares with todays news--anyone think thats a good idea? Looks revolutionary

Are you seriously going to feed into the 3D revolution hype?

 

[Setreal]

Hi all!

I just opened a Scottrade account, and was looking into finding where to invest for my first stock. I was considering ATVI because of all of the big upcoming releases (SC2, Cataclysm, DIII), but the stock itself doesn't seem to be much of a performer. Any ideas for a newbie?

 

[Gallbaro]

Hi all!

I just opened a Scottrade account, and was looking into finding where to invest for my first stock. I was considering ATVI because of all of the big upcoming releases (SC2, Cataclysm, DIII), but the stock itself doesn't seem to be much of a performer. Any ideas for a newbie?

S&P 500, or Willshire 5000 ETF.

That is not a smart ass response, if you are not looking to play roulette and day trade, or not willing to dedicate your life to stock analysis, you can't beat an Index fund.

 

[Ether_Snake]

Good times, good times. Game stocks are doing well.

But I have nothing I want to sell now.

 

[Pimpwerx]

considering purcahsing Nintendo shares with todays news--anyone think thats a good idea? Looks revolutionary

What announcement? :lol I'm up a few grand on Nintendo. I'm just holding onto it forever. I'll sell it when Miyamoto does or retires. PEACE.

 

[kathode]

Are you seriously going to feed into the 3D revolution hype?

Nintendo surged tonight on the Tokyo exchange on the 3D revolution hype

 

[Poody]

Are you seriously going to feed into the 3D revolution hype?

whether i believe if or not, this shit is going to fly off shelves. People have been waiting for a new handheld sys to release and you can't deny that this handheld sounds interesting. I'm seriously contemplating right now, but I won't buy till later this year when their share drop a little.

 

[Setreal]

S&P 500, or Willshire 5000 ETF.

That is not a smart ass response, if you are not looking to play roulette and day trade, or not willing to dedicate your life to stock analysis, you can't beat an Index fund.

For investing into the S&P 500, would you suggest using SPY or VWO?

 

[Gallbaro]

Yeah, may wanna start shorting Apple.

For investing into the S&P 500, would you suggest using SPY or VWO?

VWO is an Emerging Markets ETF

 

[RSTEIN]

*loosens collar*
*throws down bubble shield*

 

[Setreal]

VWO is an Emerging Markets ETF

Whoops! I meant VFINX, so basically ETF or index fund. Also a more practical question. I just bought 81 shares of SBUX at 24.48 on the virutal stock market for $1,989.88. However now that the stock is at 24.54 the value is 1,987.74 - below what I paid. Is this because of the imaginary broker fee?

EDIT: Ignore my second question! After pulling out a calculator it is indeed the broker fee.

 

[Pimpwerx]

Nintendo up 5%. Whoa!. Where's this stock going? I need to set some stops. PEACE.