Dow fall 1000 points in just few minutes after the start of trading. It was crashing at 16000. Good news is that its coming back now.
Facebook down 12%
Apple down 10%
Google down 7%
MSFT down 6%
Time to watch ‘wolves of wall street’ :khumar:
Re: Black Monday: Dow and other markets taking a plunge
For our dear @Southie
Re: Black Monday: Dow and other markets taking a plunge
Bloody Monday !
As soon as I started my tickers they were all red and Nasdaq showed >5% down, I was like 
nooooooooo!
Market started to make a comeback the same day and Nasdaq was then <1% down… and in final hour they decided to take a dive again.
Re: Black Monday: Dow and other markets taking a plunge
I work in a healthcare-IT company and one of the apps we support is the the data of all irregular heart activities. The database crashed this afternoon due to bulk load today 
Re: Black Monday: Dow and other markets taking a plunge
^ lol
Re: Black Monday: Dow and other markets taking a plunge
Times is trying to explain here the reasons of Monday dive relating it with China’s economy. This is atleast 12th reason i’ve been reading so far for today’s volatile activity.
Stock Market: What Monday’s Crash Means For Your 401(k)
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Re: Black Monday: Dow and other markets taking a plunge
Our staff had question market valuations in the "Whither the Merkets" thread started in Feb 2014 when market was 1865 I think. It closed 1895. So up 1 pct plus div yod of 2 pct in 1.5 years.
As mkt moved upwards, we rebalance at circa 1920, 1950, 2000, 2050 and 2010. In fact at each rising level we reduced the stock allocation. Started at 75 pct stock 25 pct cash. 3nded I think 55 45.
We felt market was 20 to 40 pct overvalued with the Shiller index pointing to 25 pct if we use a cape ration of 20. And 40 if average cape is 16.
20 pct from 2000 is 1600. 40 pct from 2000 is 1200. Say 1400 average at the time. Add 12.pct in 1.5 yrs. It is 1570 fair value.
That is a drop of 17 pct from here. Who knows. If I didn't have any in the market I woukd shift in SLOWLY. Bit by bit.
The press is now catching up 2hat we pointed out long ago. It is all about valuation. If u think long term
Re: Black Monday: Dow and other markets taking a plunge
The China slowdown has been splashed all over for few months. Why did the Times wait till AFTER a 5 Oct drop to report this as the reason. What was it doing when mkt was at 2130. It is down 240 points. Or 11.5 pct. And now they tell us.
The pundits were cheerleasinh AAPL at 131. Not it is at 102. And they r worried.
They raved about EXXON et al when crude was at 140. 20th crude at 38, they warn us about EXXON.
Waded into energy stocks in Oct 2014. And then 1week ago. Willing to buy more as they drop.
The mkt regaining it's losses was depressing. Volatility is a value investors best friend.
For most, no action is good action. Don't panic - stick to asset allocation and rebalance when asset allocation out of whack
Re: Black Monday: Dow and other markets taking a plunge
^ the so-called pundits only state AFTER-FACT.... they are like cricket commentators who tell audience what players are doing instead of telling what players should do to benefit from a situation.
Re: Black Monday: Dow and other markets taking a plunge
I read a few weeks ago I think that the gold prices were coming down swiftly. This didn't happen overnight. I was telling my dad to take a look at gold jewelry a few weekends ago and he told me to hold off, prices are going to fall more.
Re: Black Monday: Dow and other markets taking a plunge
I read a few weeks ago I think that the gold prices were coming down swiftly. This didn't happen overnight. I was telling my dad to take a look at gold jewelry a few weekends ago and he told me to hold off, prices are going to fall more.
Actually gold peaked at circa 1850 3 years ago. Not sure how swiftly gold fell last few weeks.
At 1850 everyone was bullish. At 1150, nearly 40 pct down, folks are bearish.
Makes no sense.
Anyway I don't know what moves gold. But it is not clear what is the basis olto be bearish AFTER a 40 pct drop from the peak.
Buy high sell low seems to be a mantra equally applicable to all asset classes.
Re: Black Monday: Dow and other markets taking a plunge
Was a bit down when market recovered today. Feeling better with market giving up another 2.5 oct. Oil, AMAT, GE looking attractive.
Baby steps.
Had moved some into European yesterday. Don't know what it did today. And don't care. Since Europe has gotten cheaper.
Re: Black Monday: Dow and other markets taking a plunge
Here is the Schiller CAPE ratio
Market 20 to 30 pct overvalued based on CAPE of 20 or 18. Doesn’t mean that is where it will end up. It can go down past this range. Or it can stay flat for few yrs. Or it can increase at low rate say 3 pct for next 8 years. All these scenarios will bring it back in line.
Hope this provides perspective.
Re: Black Monday: Dow and other markets taking a plunge
Depressing day. Market up 3.3 pct.
Re: Black Monday: Dow and other markets taking a plunge
IT healthcare is the place to be these days. Just changed jobs from one oil and gas to the other and always worried. 
Re: Black Monday: Dow and other markets taking a plunge
IT healthcare is the place to be these days. Just changed jobs from one oil and gas to the other and always worried. :(
Agreed. They are hiring left n right but again you have to make the right choice cuz if mine is expanding, there are few who are totally down the hill
Re: Black Monday: Dow and other markets taking a plunge
Thank you for that. So what made the market explode upward you moron?
Re: Black Monday: Dow and other markets taking a plunge
Agreed. They are hiring left n right but again you have to make the right choice cuz if mine is expanding, there are few who are totally down the hill
Yep. One of them is my former company Quest Diagnostics. They are laying off IT folks and out sourcing all of it. They laid off about 90% of all IT.
Re: Black Monday: Dow and other markets taking a plunge
Stop with the name calling you imbecile. Do you have comprehension issues? I clearly stated market appears 20 to 30 pct overvalued. And that it could reach fair value by multiple ways. Go down, stay flat or rise at slow fate for several years.
Have your asset allocation in place and rebalance periodically. This is the mantra I have been repeating. That’s the only free lunch.
Now go away.
Re: Black Monday: Dow and other markets taking a plunge
Stop with the name calling you imbecile. Do you have comprehension issues? I clearly stated market appears 20 to 30 pct overvalued. And that it could reach fair value by multiple ways. Go down, stay flat or rise at slow fate for several years.
Have your asset allocation in place and rebalance periodically. This is the mantra I have been repeating. That's the only free lunch.
Now go away.
Today's wsj had an article using same CAPE. Based on cape of 20 over last 30 yrs mkt is 20 pct overvalued per the article. In line with your post.
Jason Zweig in another article today stated what u did - that mkt can either go down eliw fair value or remain flat or grow slowly.
That is why, as we have repeatedly said, asset allocation and rebalancing is the way to go. Last thing one should do is go by gut feeling. sure to make a mistake.