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- Common Sense
- Exchanger
Offline - Registered: 2/16/2015
- Posts: 3,256
Dow surges 200 points, hits record high after Caterpillar and 3M beat
Another great day for the stock market. People with 401K's are loving this run up. Retirement accounts getting full.
Dow surges 200 points, hits record high after Caterpillar and 3M beat the Stree
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The Dow Jones industrial average rose sharply on Tuesday on the back of strong quarterly results from 3M and Caterpillar.The 30-stock index rose 200 points and hit an intraday record high. JPMorgan Chase shares rose 1.5 percent to break above $100 for the first time.The S&P 500 gained 0.2 percent, with industrials and financials leading advancers.
Corning and 3M were the best performers on the index. The Nasdaq composite advanced 0.3 percent. "This is very much earnings-driven," said Michael Shaoul, chairman and CEO of Marketfield Asset Management. "The economically sensitive sectors of the S&P 500 have seen some strong earnings and that's what we needed."
“We hold these truths to be self-evident,” former vice president Biden said during a campaign event in Texas on Monday. "All men and women created by — you know, you know, the thing.”
- Goose
- Cogito ergo sum
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- Registered: 1/29/2015
- Posts: 13,427
Re: Dow surges 200 points, hits record high after Caterpillar and 3M beat
I'm enjoying the run.
But the market seems kinda 'toppy'.
Might be getting time to lock in some gains
Last edited by Goose (10/24/2017 11:54 am)
We live in a time in which decent and otherwise sensible people are surrendering too easily to the hectoring of morons or extremists.
- Just Fred
- Duke of Cortona
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Re: Dow surges 200 points, hits record high after Caterpillar and 3M beat
It's all good news for those of us that are heavily invested, but we need to understand the mass majority of our fellow citizens ............... especially the bottom 50% or so, can't afford to dump chunks of their wages into the stock market as they live day to day, week to week, and month to month on what they earn. It's those people I think about and what it means to them and their future.
- Goose
- Cogito ergo sum
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- Posts: 13,427
Re: Dow surges 200 points, hits record high after Caterpillar and 3M beat
Yes, indeed. Only about half of Americans own stock, and it is weighted. John might own a couple hundred shares he's put away for his kid's education.
Tim is a higher earner. Not only does he own stock. He own thousands of shares.
So, one group benefits much more than the other.
Hey, I love a bull market.
But, don't imagine that the stock market is a complete picture of economic health.
From NPR:
According to Gallup, 52 percent of U.S. adults owned stock in 2016. Since Gallup started measuring this in 1998, that's only the second time ownership has been this low. These figures include ownership of an individual stock, a stock mutual fund or a self-directed 401(k) or IRA.
That means the stock market rally can only directly benefit around half of all Americans — and substantially fewer than it would have a decade ago, when nearly two-thirds of families owned stock.
And that decline was bigger among lower-income Americans, data from the Federal Reserve show. Of the 10 percent of families with the highest income, 92 percent owned stock as of 2013, just above where it had been in 2007. But ownership slipped for people in the bottom half of the income distribution, and to a lesser degree for people who were above the median but below the top 10 percent.
Those richest Americans own far greater amounts of stock. As of 2013, the top 10 percent of Americans owned an average of $969,000 in stocks. The next 40 percent owned $132,000 on average. For the bottom half of families, it was just under $54,000.
The Stock Market Is On An Epic Upswing. Here's Why It Probably Hasn't Benefited You
Combine the uneven ownership rates and ownership amounts, and the total inequality in the stock market is astounding. As of 2013, the top 1 percent of households by wealth owned nearly 38 percent of all stock shares, according to research by New York University economist Edward Wolff.
Indeed, nearly all of the stock ownership in the U.S. is concentrated among the richest. According to Wolff's data, the top 20 percent of Americans owned 92 percent of the stocks in 2013.
Put another way: Eighty percent of Americans together owned just 8 percent of all stocks.
Last edited by Goose (10/25/2017 10:19 am)
We live in a time in which decent and otherwise sensible people are surrendering too easily to the hectoring of morons or extremists.
- tennyson
- Exchanger
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- Registered: 2/06/2015
- Posts: 6,654
Re: Dow surges 200 points, hits record high after Caterpillar and 3M beat
All of us who have 401Ks, etc that are tied to the market are totally happy about the markets recovery since the 2008 collapse.
Both Fred and Goose, however, make excellent points that many Americans are not so fortunate to have similar circumstances.
I might further note that many people who are market trackers believe that the current markets likely have built in ALREADY the notion of massive tax cuts for corporations. IF that does NOT come to pass, expect a correction. Further, to imagine 4 more years without any market correction is also not too realistic.
But, for now, all of us who are fortunate enough to be invested in the markets are happy as clams as they say.
"Do not confuse motion and progress, A rocking horse keeps moving but does not make any progress"
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