how long til Wall Street collapses?

allenwrench · Intermediate Crude Joined: Apr 23, 2008 Posts: 728

I don't know. I don't have a crystal ball.

Much of the stock market was / is fueled by the proliferation of new funds. Without the constant creation of funds to fill their portfolios the stock market would be at lower levels.

http://stockcharts.com/charts/historical/djia1900.html

But when I think of the stock market I think of Charles Ponzi. The man credited with inventing the first pyramid scheme.

http://en.wikipedia.org/wiki/Charles_Ponzi

We live in a society of compulsive gamblers and not investors. Watch CNBC and see the Ponzi scheme in action with all the BS they throw at you.

I marvel at the billions lost every day with the sub-prime debacle and how it is replaced at a blink of an eye. The government doesn't have to even print out the money, they just magnetize a silicon chip to create billions.

Sustainability...lets be honest, we only pay it lip service.

We talk of living in a sustainable world, yet our actions betray our true feelings. All we have to do is to look at the stock market to see what happens when growth declines even a little.

Even if a company yields stable earning, but does not grow its earnings it is looked down upon. Stability and balance is part of a sustainable footprint, yet we shun such balance.

A good book that discusses concepts of sustainability is: 'Peak Everything' by Richard Heinberg

America is built on debt and spending.

70% of our 'economic heath,' better termed as 'economic sickness' is based on consumer spending. When the consumer can't compulsively spend any longer our economy collapses...we are not a healthy country.

With one breath we talk about cutting global warming and how we have to cut our dependence of fossil fuel.

Then with the next breath we demand no cut backs in our standard of living, we must spend and consume above all else...build more, build faster, build bigger.

The GDP must only go up, up and away...all the while this consumption just increases global warming and keeps depleting the fossil fuels faster and faster.

Sick...sick..sick mentality, buy more cars, build more houses and monstrosities of architecture, spend more but 'cut back' to save our dear fossil fuels.

Consumption is ingrained in us and we know no other way. And even if we wished to amend our ways, how could all our retirement funds take the hit?

Our economy is not based on sustainable health - it is based low interest credit to encourage compulsive spending, debt and living a life of constant consumption with a 'disposable mentality' when it comes to durable goods.

All this consumption to artificially fuel our economy to make our retirement funds only go up contributes to more and more global warming and the depletion of our natural resources.

Then the governments juggle the numbers to make the inflation figures seem artificially low, so everyone's retirement portfolio will make them happy so they will continue to buy and consume more...and on it goes....IT IS ALL WE KNOW and the bill is coming due soon!

allenwrench · Intermediate Crude Joined: Apr 23, 2008 Posts: 728

One other point.

Billions are transferred with the imported oil the US buys. The oil exporting nations have to put that money someplace. As long as they favor US paper over precious metals or commodities, the stock market and our debt may have some support.

kernull · Tar Sands Joined: May 14, 2008 Posts: 20

not WS , but US collapse, nobody knows when , because it is not possible to predict, but some gurus have spoken:

July 17, 2006: "The timetable for this economic collapse is unknown,
but it's very unlikely to happen in the next year or two. A collapse
by 2012 is certainly possible, and seeing it by 2020 is almost
certain."
http://www.naturalnews.com/019659.html

April 8th, 2008: ¨Hyperinflation could be experienced as early as 2010"
http://www.shadowstats.com/article/292

23 January 2008: "Billionaire investor George Soros said ... from
four to 10 years.¨
http://www.thisismoney.co.uk/news/article.html?in_article_id=429640&in_page_id=2

"Official CPI could be running in double-digits by year-end 2008.
Again, the current circumstance will evolve into a hyperinflationary
depression, then a great depression. Although such is not likely much
before 2010, or after 2018, the financial end game for the current
markets will tend to come sooner rather than later and will break with
surprising speed when it hits¨
http://www.kitco.com/ind/Ruff/ruff_apr212008.html

April 17, 2008: "Economist Walter (John) Williams issued a special
report on the evolving hyperinflation that he sees coming into the
U.S. as early as 2010"
http://www.gold-eagle.com/gold_digest_08/taylor041708.html

biofuel13

Seeing a nice sell off this morning...now that we've broken below 12,000 the bottom can drop out any time.

hironegro · Heavy Crude Joined: Apr 08, 2008 Posts: 270

As long as there are publically traded companies that continue to make profit on equity Wall Street won't collapse.