deep fried your retarded as hell. in the 5 to7 days ahead of the big feb plunge the isee was low as hell. even 156 is low as hell. you're a stupid loud mouth irritating punk. next thing you know you'll be saying the isee was 170 42 days ahead of the next plunge. you remind me of somebody who stays bearish for 5 years then when the market falls you say i told you so. i bet you're some 18 year old on daddys computer
Its not 1999, its Sept 2006.
- Thread starter michaelscott
- Start date
Quote from FourZebra:
Today _is_ the future, financially. Noone invests (daytraders don't invest) in a stock for its current value, only for its future value. Like I said, in a few years, their growth won't be tied to the US anymore than the US's will be tied to theirs, so you won't have any bargaining power. Right now all they can do is watch and they are, in a few years they can do whatever they want, they have 5 guys working twice as much for every one of yours. Besides, I wouldn't exactly call them "defensive".. Iran claims to be "defensive" as well(and who believes the US more than them?) but it's pointless to think about war between the US and china, it wont happen this century with 99% certainty (MAD), but that leaves china in a much better position because it was the best bargaining tool the US had..
This is going a little offtopic.. all of this was just to make the point that the stock market rally cannot be justified because economic growth prospects are being harmed by current policy.
Your logic is flawed. If tomorrow the US said, oh well, we're broke, we can't buy anything else from you, that's the end of China's economics.
As much as the rest of the world buys from them, their margins are so low that cutting 1/2 their production would mean wholesale shuttering of their factories and laying off 1/2 their workforce... which cannot be supported by the other 1/2.
They will prop us financially for as long as we need them to, not out of altruism, but out of necessity. Like the store down the street having to close because 1/2 their customers stopped buying, or the subprime lender going bankrupt because their customers default on loans. Trade is necessarily a 2 way street with impact on both.
We have exactly as much leverage as they do, so they will accomodate us as required. Of all the concerns with the market, that isn't one of them.
And the statement about war... tell me, how does a nation collect an unpaid 'debt' from another when the other cannot pay? So you answered your own question. China cannot collect the debt, unless they were prepared to break our fingers. Can that happen?