Dow Jones Industrial Average

[FM]

6 years ago the Dow reached an all-time high, then slowly and eventually plummeted down quite a ways.

Now, it's back at that point (briefly overtook it this morning) and is ultimately set to break that record and surpass it. 12,000 anyone?

Say whatever you will, it goes to show that the markets continue to rise regardless of what's going on in the world. Of course, the Dow is just one of many markets in the world today , but the financial web is so intertwined that it'll simply in the end continue to push new boundaries, and those in it the right way, are the ones making the serious dough.

The worldwide markets are amazing...hey when Forex trades on a 2-trillion daily basis, you know something's up

Makes me wonder why I didn't get into this career sooner

[KinKyJ]

Re: Dow Jones Industrial Average

Say whatever you will, it goes to show that the markets continue to rise regardless of what's going on in the world.

I'm not a stock market specialist, but I kinda disagree on that one. After the dotcom crisis and 9/11, I think we're in a pretty stable situation right now. The Lebanon conflict is "over", the hurricane season is pretty slow this year, been a while since there was tough talk from Iran and NK and there haven't been any major terrorist attacks in the West either lately... However, oil prices are on the rize again...

[Lorn]

Re: Dow Jones Industrial Average

I suppose money could equal politics.

[KinKyJ]

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^^^ that's the main factor yes. Weather conditions and natural disasters come in second.

[Miroslav]

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I'm no stock market specialist either, but don't count on the Dow and other market indexes to just continue to be one never-ending growth party. It will grow in the long run insofar as economic growth will continue...but man can you get burned badly in the short run.

[thesightless]

Re: Dow Jones Industrial Average

ya all need to read up about the sarbanes oxeley act and why it was passed before ya jump to conclusions about the market. there was a lot more to the dip than 911 and dot com. enron, tyco, bill clinton's haphazard economic management for starters.

[FM]

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^^^but also realize that Alan Greenspan (of all people) is among the growing tide that basically wants to sweep this act away by next year...mainly because it "costs too much" for businesses to run..

[thesightless]

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well they cant complain when enron happens again. you cant have it both ways. and multi trillion dollar companies and conglomerates should be loooked after.

[FM]

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they try to though...bottom line is that business like this will always try to stretch the margins out as far as they can (and sometimes as illegally as they can) because greed knows no boundaries. Then when the discoveries happen, it's well too late.

If the S-O Act gets virtually waived, it'll be nothing more then a speed bump in the road...almost to a point like FDR's New Deal was.

Came across this site tonight: absolute classic.

http://www.whitecollarfraud.com

Two words: Crazy Eddie.

[Lorn]

Re: Dow Jones Industrial Average

well they cant complain when enron happens again. you cant have it both ways. and multi trillion dollar companies and conglomerates should be loooked after.

Multi trillion?

[thesightless]

Re: Dow Jones Industrial Average

yes.
http://investors.utc.com/annuals.cfm
great example there. one of the better conglomerates.

UTC last year, had 42 billion in cash flows, yeah, in about 2 years they just about reach a trillion if you factor in the add-on effects to their suppliers and buyers. add in thier effects on thier material sources, assest value, goodwill, pensions. gets big dont it?

now. take a sec and think about MS, any oil company, any oil manufacturer, general motors, general electric, etc.

these companies have more money flow in and out of thier hands than any person can fathom.

[thesightless]

Re: Dow Jones Industrial Average

that might have not been the greatest example to give someone who isnt schooled in accounting and economics.

here, ill keep it really simple. as of this morning, oct 12, 2006. exxon has 5,944,957,000 shares out in the market (they have more in a reserve account so their CEO has a voice on the board) the price as of right now is roughly 68 dollars a share. that equates to roughly 404,257,076,000 US dollars out there under the exxon name. now, you should take in consideration regarding potential future income relating to new oil feilds, new research, and new power sources they are working on.

[Lorn]

Re: Dow Jones Industrial Average

^Who said I wasn't schooled in accounting/economics. I was just bustin on you about a multi-trillion dollar company.

...and by the way 400 billion is no where near multi-trillion....

[thesightless]

Re: Dow Jones Industrial Average

in three years they top a trillion

again, economics, think of how many gas stations across the globe get rpofits from exxon. one of my clients is one. and they roughly pull 180K a year in profit after COGS, so take the 180K average then apply that to all gas stations that rely on the product. well over a trillion when you consider the filter down effects.

we dont see it because it was the GAP or mcdonalds. but enron eventually lead to an entire economy being exposed and losing value on a massive scale, on top of a few thousand people losing about 70K a year in pensions. and that was just one company and one accounting firm.

[Lorn]

Re: Dow Jones Industrial Average

I understand your logic bro. and lets hope we don't see more enrons in our future.