See, this is exactly what's wrong with U.S. capitalism, that companies view themselves not as organizations to benefit society by providing jobs to people, but only as profit entities. This is not how it is in Germany or Holland, yet those countries thrive, whereas the U.S. is going down the toilet because of how U.S. companies have turned their backs on American workers and because of the influx of skill-less immigrants, who offer nothing to society, but only take.
Apple should be the most hated company for its outsourcing. Steve Jobs was a greedy parasite to setup all the manufacturing in China, thumbing his nose at American workers. Had he cared about the American worker, he would have died beloved rather than the ego-maniacal scoundrel he was.
Until now, earnings have largely held up. Now that picture is crumbling because of stronger dollar and higher input costs. No cost savings left to be had after companies streamlining since 08. Blaming the weather and currency only works for so long.
The nail on the coffin of the this market is the outflows. No amount of intervention is going to forestall a sell-off, if everyone is pulling out.
Facebook doesn't do anything. None of it is real. The whole business is based on purposeless activity and so is the stock price. It's a company for fools.
What fabricated measures are you referring to?
Facebook is dying. People use it for a little while and then stop using, because it's not very interesting.
The fact that the Fed didn't hike today and signaled that it won't be raising rates any time soon amounted to a quasi cut today. But even with rates at zero in emergency mode for six years, monetary policy has not stimulated the economy to any degree that it is self-sustaining. On the contrary, judging by the latest data and the Fed's lowering of its growth and inflation outlook, the economic picture is worsening. Now the Fed is in a real bind. To begin another round of QE would be an admission that previous rounds have been a failure. Stocks can remain buoyed for so long, until the pain sets in with lower demand, missed earnings targets and job cuts, like what happened today with General Mills. The Fed is full of #$%$ for saying that risks to its outlook are balanced when it had to cut its outlook today. Deflation is now the boogeyman, just like in Japan.
The only thing that really changed between before and after the Fed announcement is that they downgraded their economic and inflation outlooks. That cannot be good for stocks, when the Fed is not serious at all about raising rates because of cratering commodity prices and worsening economic trends, minus the jobs data that is fabricated anyway.
The announcement was not the bazooka. It was the buy program the Fed turned on, helped by its network of fraudsters, I mean banksters.
My technicals are the best system ever created. They encapsulate everything, including momentum over multi-time frames.
Technically the indexes were in the worst shape before the announcement. I suspect they will be headed back down once the smoke clears from the Fed's bazooka's.