Fear & Greed

trysail

Catch Me Who Can
Joined
Nov 8, 2005
Posts
25,593





Fear..........................................................................................Greed
^







The age-old demons:
FEAR and GREED.​



 
Right above the ^ should be the word, self-interest.

This stems form a comment I made earlier in another thread.
 


Global Coal price:

https://alfred.stlouisfed.org/graph/alfredgraph.png?g=jnH7



Money Supply v M1 Velocity:

https://fred.stlouisfed.org/graph/fredgraph.png?g=jnHd



The Adjusted Monetary Base is the sum of currency (including coin) in circulation outside Federal Reserve Banks and the U.S. Treasury, plus deposits held by depository institutions at Federal Reserve Banks. These data are adjusted for the effects of changes in statutory reserve requirements on the quantity of base money held by depositories.

https://fred.stlouisfed.org/graph/fredgraph.png?g=jnHh


 


Federal Surplus or Deficit
Units: Millions of Dollars, Not Seasonally Adjusted

Frequency: Annual, Fiscal Year

Dates represent the end of the fiscal year. Fiscal year series are updated with official OMB figures in January or February. In October, the latest fiscal year is updated with figures from the Treasury Department (September figures from the Treasury's fiscal year to date series).


https://fred.stlouisfed.org/graph/fredgraph.png?g=jnHl



Federal Debt: Total Public Debt as Percent of Gross Domestic Product

https://fred.stlouisfed.org/graph/fredgraph.png?g=jnHq



 
Guns..........................................................................................Butter
^​
 


I've just made a pretty damn big bet. The price isn't provably outrageous but, over the years, the company has proven to be a decent business. Right now, it's got a pretty fat dividend yield with a dividend that appears sustainable and has grown. The ownership is concentrated and controlled by people with a reputation for good management and shareholder-friendly behavior.

One never knows in advance which ones are going to work but this one feels pretty good.


 
win elections



The sainted Mencken was right about a great many things.




"The whole aim of practical politics is to keep the populace in a continual state of alarm (and hence clamorous to be led to safety) by menacing them with an endless series of hobgoblins, all of them imaginary."
—H. L. Mencken​


 


The consumer price index for May has been reported as rising 0.2% (seasonally adjusted).

The trailing twelve month consumer price index has risen 2.8% (but the pundits are quick to point out that excluding food and energy prices, the annual rate was 2.2%).


That makes perfect sense doesn't it? After all, you don't use food or energy. Right?

;) ;) ;)



 


If Dimon is right about a 5% Treasury YTM (and I doubt there is anybody who can accurately predict interest rates), owning stocks is not going to be fun.


_________________________

If you believe

There
Is
No
Alternative
you'd be wise to remember (or learn about):
1929-1950
1968-1974
1979-81
1987
2000
2008-9.


 
"Greed is good."

-- Gordon Gecko


That's generally accurate.

How else does civilization progress if there is no reward for risk or the performance of socially beneficial activities?


Nothing gets done if somebody doesn't have a chance to make a buck.



 


Annual Returns (1960-2018)
Cash, Intermediate Term U.S. Treasury Bonds, S&P 500 and CPI Inflation

Code:
	Annual Returns  [Source: Vanguard Group and Ibbotson Associates]
	     *  S&P 500 Index
            ** Intermediate Term Treasury Bond
	
					
	Year	Cash	Bonds**Stocks*Inflation
					
	1960	2.7 	11.8 	0.5 	1.5 
	1961	2.1 	1.9 	26.9 	0.7 
	1962	2.7 	5.6 	(8.7)	1.2 
	1963	3.1 	1.6 	22.8 	1.6 
	1964	3.5 	4.0 	16.5 	1.2 
	1965	3.9 	1.0 	12.5 	1.9 
	1966	4.8 	4.7 	(10.1)	3.4 
	1967	4.2 	1.0 	24.0 	3.0 
	1968	5.2 	4.5 	11.1 	4.7 
	1969	6.6 	(0.7)	(8.5)	6.1 
	1970	6.5 	16.9 	4.0 	5.5 
	1971	4.4 	8.7 	14.3 	3.4 
	1972	3.8 	5.2 	19.0 	3.4 
	1973	6.9 	4.6 	(14.7)	8.8 
	1974	8.0 	5.7 	(26.5)	12.2 
	1975	5.8 	7.8 	37.2 	7.0 
	1976	5.1 	12.9 	23.8 	4.8 
	1977	5.1 	1.4 	(7.2)	6.8 
	1978	7.2 	3.5 	6.6 	9.0 
	1979	10.4 	4.1 	18.4 	13.3 
	1980	11.2 	3.9 	32.4 	12.4 
	1981	14.7 	9.5 	(4.9)	8.9 
	1982	10.5 	29.1 	21.4 	3.9 
	1983	8.8 	7.4 	22.5 	3.8 
	1984	9.9 	14.0 	6.3 	4.0 
	1985	7.7 	20.3 	32.2 	3.8 
	1986	6.2 	15.1 	18.5 	1.1 
	1987	5.5 	2.9 	5.2 	4.4 
	1988	6.4 	6.1 	16.8 	4.4 
	1989	8.4 	13.3 	31.5 	4.7 
	1990	7.8 	9.7 	(3.2)	6.1 
	1991	5.6 	15.5 	30.6 	3.1 
	1992	3.5 	7.2 	7.7 	2.9 
	1993	2.9 	11.2 	10.0 	2.8 
	1994	3.9 	(5.1)	1.3 	2.7 
	1995	5.6 	16.8 	37.4 	2.5 
	1996	5.2 	2.1 	23.1 	3.3 
	1997	5.3 	8.4 	33.4 	1.7 
	1998	4.9 	10.2 	28.6 	1.6 
	1999	4.7 	(1.8)	21.0 	2.7 
	2000	5.9 	12.6 	(9.1)	3.4 
	2001	3.8 	7.6 	(11.9)	1.6 
	2002	1.7 	12.9 	(22.1)	2.4 
	2003	1.0 	2.4 	28.7 	1.9 
	2004	1.2 	2.3 	10.9 	3.3 
	2005	3.0 	1.4 	4.9 	3.4 
	2006	4.8 	2.8 	15.8 	2.5 
	2007	4.8 	10.2 	5.5 	4.3 
	2008	2.1 	16.8   (37.0)	0.1 
	2009	0.4 	(4.8)	26.5 	2.7 
	2010	0.1 	 7.6 	15.1 	1.1
        2011    0.1     13.2     2.1    3.0
        2012    0.0      3.6    16.0    1.7
        2013    0.0     (4.7)   32.4    1.5
        2014    0.0      6.4    13.7    0.7
        2015    0.0      1.8     1.4    0.7
        2016    0.2      1.9    12.0    2.1  
        2017    0.9      2.2    21.8    2.1
        2018    1.8      1.2    (4.4)   1.9
        2019    1.6      7.5    31.5    2.3



The S&P 500 total return for 2018 was -4.38%


 
Last edited:
A truism from the Sloan School of Business is that there are four, and only four, reasons why organizations of individuals decide to implement a change:

  • Fear
  • Greed
  • Pain
  • Envy

(Source: I married a Grad Rat.)
 


PSA:



OMAHA, NE—Berkshire Hathaway Inc.’s 2018 Annual Report to the shareholders will be posted on the Internet on Saturday, February 23, 2019, at approximately 8:00 a.m. eastern time...

The Annual Report will include Warren Buffett’s annual letter to shareholders...


 
Fear and Greed, pretty much sums up the modern day Repug party.


Niccolò di Bernardo dei Machiavelli (1469-1527) predates the "modern day" by several centuries.


In any event, it is not the intent or purpose of this thread to serve as a wall for political graffiti.


In the interest of politeness and good manners, kindly refrain from using it as such. There is no shortage of threads in the GeeBee where you may exercise (and exorcise) that urge.


 
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