U.S. economy is on the cusp of another Roaring ’20s, says UBS

At the time the NYSE had floor traders/brokers, clerks (posting prices, etc.), phone operators, tube men, runners, and other exchange employees (support staff).

At the time you could also get 10X leverage for trading stocks.

My grandfather was a clerk at the NYSE until the Great Depression hit. The money he had invested in stocks evaporated in the 1929 crash. He lost the rest of the family money when the bank the family used went under in 1930. Eventually he got a jobs as a postal carrier and did this for the rest of his career in New York -- leaving working in the financial/trading industry in the rear view mirror.

The picture is of a crowd gathering on Wall Street on November 28, 2023 to watch a Red Cross donation fund charity effort increase in size. It was a special event, not a normal day.

 

China's stock market has been roaring mightily for the past week.
It has been up 30%.

 

@Ed48 UBS concurs.

 

The 5% crowd does not determine prices.

1. Much is made of the say 5 trillion in cash. Assume all of that went into the stk mkt at today's open. What would be the amount of cash on side-line? Still 5 trillion: for every buyer there is a seller.

2. All prices are determined on the margin. All the pension-funds holding X stock, do not determine the price today; it is the marginal buyer. The marginal buyers these days are fast money, hedge funds, option traders, & related.

Take cars for example: the prices of new cars are not determined by the almost 300 million car owners in the U.S., they are determined by the approx 3 million who decide to buy a car this year.

 

Wait till it's down 30% , we have meme stocks, now meme asia stock indexes that will fall just as hard as they are rising.

 

Seems everyone of you is saying the same thing: When the music stops, it is not going to be pretty.

So what are you elite traders going to do?

 

Same thing I've done since the tech wreck in 2001 turned me into a speculator, go to cash and wait for the recovery. Captal protection is priotity number one!!

 

You and Buffett think alike. He is lightening up on stocks too.

 

You think that trick of him selling banks way out of the money puts is passe.
https://alphaarchitect.com/2018/12/warren-buffett-is-wrong-about-options-except/