WTF just happened?

SCI new york · Aug 16, 2011

Quote from BSAM:

Great. I suggest we tax people who wear white socks.

Also, we should tax people who breathe.

Now, if you wear white socks and breathe, these people would really have a hefty tax put on them.

Wait, couldn't governments just spend less? Naw...What am I thinking??

+

kashirin · Aug 16, 2011

Quote from EPrado:

As far as the stock market the center stage of the economy? Not sure about that. Economy has been horrific the last few yrs but the stock mkt has been going up.

If they did pass this tax in The U.S., the stock market would get obliterated.....make the last few weeks seems like nothing. Would destroy the economy.

Good news is if these dopes in Europe pass this thing a lot of traders would flee Europe and trade here...sending volumes a hell of a lot higher.

that's exactly my point - conditions must be created for possibility of stock market obliteration without destroying the economy
real economy shoudn't be so dependent on asset prices
small tax on short term transaction would be a good first step
in that direction

piezoe · Aug 16, 2011

Quote from EPrado:

Maybe over in France.....but over here. No way in hell it will even come close. They have brought it up a few times over the years and it couldn't get enough support to be taken seriously in the U.S.

As far as the HFT tax thing? I would lose no sleep if they did something like that and wiped them out. But again...will not happen in The U.S. The firms that do the HFT have WAY too much money and connections in Washington D.C. for that to happen.

As far as the stock market the center stage of the economy? Not sure about that. Economy has been horrific the last few yrs but the stock mkt has been going up.

If they did pass this tax in The U.S., the stock market would get obliterated.....make the last few weeks seems like nothing. Would destroy the economy.

Good news is if these dopes in Europe pass this thing a lot of traders would flee Europe and trade here...sending volumes a hell of a lot higher.

I think taxing something addictive is brilliant -- not necessarily right, but brilliant nevertheless. We can put almost any tax on cigarettes and the addicts will pay it. Ditto for gambling, oops I mean "trading."

marketsurfer · Aug 16, 2011

Quote from piezoe:

I think taxing something addictive is brilliant -- not necessarily right, but brilliant nevertheless. We can put almost any tax on cigarettes and the addicts will pay it. Ditto for gambling, oops I mean "trading."

A STT is very likely going to happen. It's the easy way out for the govt.

surf

Arnie · Aug 16, 2011

It just takes one country to start this. I wouldn't be so sure this doesn't get some traction.....over here. Liberals are salivating over this....a new source of "revenue" and they get to stick it to Wall Street at the same time.

piezoe · Aug 16, 2011

Quote from marketsurfer:

A STT is very likely going to happen. It's the easy way out for the govt.

surf

I regret that you are probably right, this time only however!

If you need money --France needs money, the U.S. needs money-- You should go to where the money is and get some. The money is in Banks, and Banks trade. Go to Banks and take some of their money.

EPrado · Aug 16, 2011

Quote from kashirin:

that's exactly my point - conditions must be created for possibility of stock market obliteration without destroying the economy
real economy shoudn't be so dependent on asset prices
small tax on short term transaction would be a good first step
in that direction

Just curious? Are you a trader?

Doesn't seem like it.

SteveNYC · Aug 16, 2011

Quote from pattern39:

Waht the?

heavy short selling

EPrado · Aug 16, 2011

Quote from piezoe:

I think taxing something addictive is brilliant -- not necessarily right, but brilliant nevertheless. We can put almost any tax on cigarettes and the addicts will pay it. Ditto for gambling, oops I mean "trading."

The difference is...taxing cigarettes...gambling will not have an effect on the majority of people. A short term transaction tax will effect everyone. You drive traders out of the stock market and watch liquidity plummet. The stock market will drop by an enormous amount. Will effect all.

Good luck to these huge mutual funds trying to sell their shares of IBM when the bid offer is 170 by 175.

EPrado · Aug 16, 2011

Quote from marketsurfer:

A STT is very likely going to happen. It's the easy way out for the govt.

surf

It has zero chance of happening here Surf. While it is an easy way out, is not going to happen. Hell.....the Dems can't even agree on it. Even if they did, the Rebublicans would never let it happen.

This tax has about much chance passing as you and I agreeing on trading methodolgy.

Good article:

http://www.thetradenews.com/regions/europe/5901