Kudos to MMs
- Thread starter nitro
- Start date
I am hearing rumors again that GS is in trouble. Oh boy.
Look, it won't be allowed to fail. It will get more of an infusion. In the meantime, markets may be reacting to that.
I would be very cautious here if you are hunting for bargains. No need to gamble. Otherwise, if you want long, at least hedge, say with VIX calls.
nitro
Look, it won't be allowed to fail. It will get more of an infusion. In the meantime, markets may be reacting to that.
I would be very cautious here if you are hunting for bargains. No need to gamble. Otherwise, if you want long, at least hedge, say with VIX calls.
nitro
You know, if several years ago someone showed you in a crystal ball that F would be trading at $2.00 and GM at $5.00, and asked you to guess where SPX would be trading as a result, no one would guess 900. Either:
1) The auto industry is no longer as important to the economy as it used to be [the consensus] or
2) Markets are in denial about the repercussions [which introspectively includes me.]
Imo, the economy cannot afford letting these companies go BR. Even in the case of a merger, the economy is going to get flooded with people that have very few prospects of finding new jobs with much of the rest of manufacturing jobs going overseas seeking cheap labor.
The most infuriating thing to me about US automakers, and an experience that soured me to US cars made for America is, I went to Europe on my honeymoon a while back. We were picked up by family of my then wife in a Ford Focus. I was completely astonished. I couldn't believe that I was riding in a Focus. The suspension of that Focus was as tight as a toyota or BMW. The feel inside the car was that of subtle luxury. I asked if this was a standard car you can buy from a dealer, and he said the car was stock. I then realized that in the US, it is not that US automakers cannot make good cars, it is that we get flooded with crap continuously from the big three, so that we lease the cars and continuously turn them over every two to three years, and so that the cost of the car is kept low by using cheaper parts in the US.
Very difficult to say how SIFs should trade around nearly bankrupt automakers, imo.
nitro
1) The auto industry is no longer as important to the economy as it used to be [the consensus] or
2) Markets are in denial about the repercussions [which introspectively includes me.]
Imo, the economy cannot afford letting these companies go BR. Even in the case of a merger, the economy is going to get flooded with people that have very few prospects of finding new jobs with much of the rest of manufacturing jobs going overseas seeking cheap labor.
The most infuriating thing to me about US automakers, and an experience that soured me to US cars made for America is, I went to Europe on my honeymoon a while back. We were picked up by family of my then wife in a Ford Focus. I was completely astonished. I couldn't believe that I was riding in a Focus. The suspension of that Focus was as tight as a toyota or BMW. The feel inside the car was that of subtle luxury. I asked if this was a standard car you can buy from a dealer, and he said the car was stock. I then realized that in the US, it is not that US automakers cannot make good cars, it is that we get flooded with crap continuously from the big three, so that we lease the cars and continuously turn them over every two to three years, and so that the cost of the car is kept low by using cheaper parts in the US.
Very difficult to say how SIFs should trade around nearly bankrupt automakers, imo.
nitro
Please stop signing your posts.
Your screen name sort of gives us an idea re who is posting.
Thanks.
whodareswinston
(ooops)
Your screen name sort of gives us an idea re who is posting.
Thanks.
whodareswinston
(ooops)