The Dow is UP THERE! Please stick. nt

[sprinkleeninow]

[Fiendish Thingy]

1. Well, there could be a lot of volatility as the debt ceiling deadline approaches

But it’s certainly good that the market has recovered some ground from last year’s losses- at least that gives it some room to fluctuate rather than just continuing 2022’s decline.

[progree]

2. Looking at the Wilshire 5000 total U.S. market index, which is far more representative

Last edited Sat Apr 29, 2023, 01:43 AM - Edit history (1)

of the total U.S. stock market than a legacy price-weighted average of 30 blue chip stocks:

The Wilshire 5000 reached its all-time closing high of 48,952 on 11/8/21. Today, 4/28/23, it closed at 41,064, down 16.11% from that high.
https://finance.yahoo.com/quote/%5EW5000/history?p=%5EW5000

In that time frame, the CPI increased from 278.711 to 301.808 (November 2021 to March 2023, the latest):
$301.808 is needed today to purchase what $278.711 did in November 2021.
https://data.bls.gov/timeseries/CUSR0000SA0

So the total U.S. stock market index fell to (41064/48952)*(278.711/301.808) = 0.77467 in purchasing power

Meaning a $100,000 nest egg in the U.S. stock market at the 11/8/21 peak now has only the purchasing power of $77,467 (a 22.5% drop in purchasing power).

So yes, for sure its better to stick to that rather than fall some more, and I'm glad its better than it was at its recent low point.

[Frasier Balzov]

3. Investors are getting used to the risk-free rate they need to beat.

A pause by the Federal Reserve will be especially confidence building, whenever that comes.

[Warpy]

4. About the only thing that will work is another massive cash infusion

into the investing class, meaning spending and wage cuts at the bottom and more tax breaks and giveaways to the top and we all know that's not going to sit well with people getting hit so hard by inflation.

That is exactly what the Republicans will do, too, should they get back into power. Look at the games McCarthy is playing with the debt ceiling. Republicans are fixated upon the stock market. Nothing else matters to them except hanging onto power.

[Frasier Balzov]

5. Investing is open-access regardless of party affiliation.

More Democrats engaged in investing will bring more enlightenment to corporate boardrooms.

Investing is literally the easiest way to produce more wealthy Democrats.

I hope that ownership of corporate and government securities doesn't corrupt me too much!

[Warpy]

6. Of course, every fast food worker and checkout clerk is permitted to invest

but if you want a large increase in the Dow, you're going to have to start at the top again with bailouts, handouts, and tax cuts.

People who don't have enough to live on are not going to be investors, whether or not they're allowed to be.