Why are markets hitting new records after Fed announces cuts to QE programme?

S&P 500 RISES 1.7% TO RECORD 1,810.79 AT CLOSE
DOW AVERAGE INCREASES 1.9% TO RECORD 16,171.12 AT CLOSE

What are your thoughts on this reaction?

Is it because investors thought the Fed might have tapered more? The stimulus party still raging? Other reason?

I think that Wall Street has gone completely looney and that there will be a crash shortly. Other than that nothing new in this, it is what I would expect to happen in a deceptive economy.

rickymouse
I think that Wall Street has gone completely looney and that there will be a crash shortly. Other than that nothing new in this, it is what I would expect to happen in a deceptive economy.

I was hoping a correction would come soon, and the market going up like this makes no sense at all.


I don't believe it will crash completely, but a major correction is weeks away.

reply to post by surrealist


When this was announced during the summer to be done by August the markets had a plunge, perhaps this time they are more prepared or that while the QEs will be cuts the government or the fed is going to offer something else as we know that without the QEs the markets will not be able to work.

We will find out what the deal is sooner of later and as usual is not for the benefits of the tax payers.

The "Market" will get the correction in January.

People and institutions will take profits in the new tax year, thus delaying the payments on capital gains.

reply to post by surrealist


Do you remember all the talk awhile ago about how all the banks and corporations were holding onto their money because of QE. They knew that once QE started to taper off the gravey train ride was over. IMHO you'll start to see, hopefully, some of these banks/corporations use their own money to finance their respective businesses. I may be 100% wrong but that's why we have discussions such as this on ATS.

I don't understand why the market is doing this, but all I do know is my military thrift savings plan is loving the interest from it. It's really hard to pull out of the volatile markets and put my money back into securities with trends like these.

Here's a thought. Since a correction is most likely on it's way.

Let's get the people going, bring everything up, up, up. So it looks like the economy is recovering, then ::Snicker,Snicker:: When QE comes and the people have put the last of there saving's back into the market.... :::WHAAAAMO::: We crush them.... AGAIN!!! Were rich bio#####tch!!! ::Snicker, Snicker::

Something along those lines.... Honestly, it does sound plausible.

Shooting up in anticipation of the rise in interest rates or the coming correction/crash?

reply to post by iamhobo


What goes up must come down. I know it's hard to get out when your making all that money but do it. I don't think a total crash is coming but it's due for a correction. Get out now while your on top and wait a year to see what happens.

My grandmother was making $100 a day on her 401k before the crash in 2008. After the market crashed she sold all of he stocks and lost her ass. I told her not to do it but she didn't listen she panicked. She's been sitting on her money since 2008 hoping for another crash to buy back in.

Lets give the upcoming 'correction' aka crash a name:

QE Bubble?

Obama's bubble?

Bush's bubble?

Fed's Fake Money Market Crash?

Monopoly Money Market Correction?

You didn't build that reconstruction?



Thoughts?


It will happen, might as well give it a name

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