Stocks Rebound after Fed adds liquidity

Stocks Rebound after Fed adds liquidity

news.yahoo.com

The stock market...began to pare its losses several hours after the Fed's latest injection of cash into the system Friday.

The Fed added $16 billion...to the market at midmorning Friday, supplementing the $19 billion added earlier...

(visit the link for the full news article)

Some one had previously said, thats how they would fix this issue... seems to me like they were very right. Will the Feds just keep adding money to counter the issues we are having with our economy, or actually do something worth while?

news.yahoo.com
(visit the link for the full news article)

Originally posted by FoxeWill the Feds just keep adding money to counter the issues we are having with our economy, or actually do something worth while?

Isn't it funny, how they can keep lies going, just by throwing money at it. Confidence, in the system, means that the buyers just want to know, the feds will keep the system going no matter what.

What worth while is the real solution, with america's problems in the mortgage area. What would you suggest.

[edit on 8/10/2007 by andy1033]

Originally posted by andy1033

What worth while is the real solution, with america's problems in the mortgage area. What would you suggest.

[edit on 8/10/2007 by andy1033]

I'm no politician or marketer. I just know there has to be a solution somewhere... even if it means redoing our entire system.

I do know that throwing money at it is no solution, what, with our multi-trillion debt and all...

[edit on 10-8-2007 by Foxe]

Originally posted by Foxe
I'm no politician or marketer. I just know there has to be a solution somewhere... even if it means redoing our entire system.

The problem with that is that it works for the mega rich, and they are the ones that count in the system. Us little people are just numbers, we do not matter.

They have created an economic system that is so complicated that only they can understand it, so its sorta like a secret society in itself. Just what percent of the population even understands it all, has gotta be very small, and how it all interconnects.

Just look at the fact that people are asking the government is there a law to say that americans need to pay income tax. How bizarre is that, that something so basic cannot be understood by the general public, and alot of people have tried to figure it out.

For me, whats going on in usa shows that capitalism does not work, like communism. Both systems are about, having a few mega rich people, while most of us just get along barely all our lifes.

What i find interesting is that, just how america is going to pay of that large debt. Do you guys think it will continue to increase forever, and will the banks accept it. Or is that there plan.

[edit on 8/10/2007 by andy1033]

Andy1033 For me, whats going on in usa shows that capitalism does not work, like communism. Both systems are about, having a few mega rich people, while most of us just get along barely all our lifes.

No, capitalism does work, but just as any set foundation, it can be ruined over time, by greed and broken rules.

Inheritance and welfare are the two key components in the destruction of capatilism as an ideal, IMO.
I just wrote about this on another thread, trying to explain this to someone living outside of America, Ill see if I can find my post....

I wrote this post in response to another ATS member on the "It's official the collapse of the US economy has begun"

Posted by nowayreally, on August 3, 2007 at 16:03 GMT

Yes, gun totin you are correct in assuming our (american) way of living is not decent anymore. The concept of free market capitilist society is the greatest concept I know to be the key for survival. The problem is that, like many great civilizations, kingdoms,ect. before us, we were founded on great principles, but the wrong people took advantage of these principles to meet their own ends. We did not elect Bush, I dont care what anyone says, I did not, and noone (except for my super naive parents that is) did elect him. But how did he get in the position to be elected in the first place? Exactly!!!! When we as true Americans live in a 'real' capitalist society then it will be legit, because the people who work hard for what they want will get it, and those who dont will not. Unfortunately when we have a seriously screwed welfare system, and we have lazy little s%#ts getting inheritance for something they lifted no finger to achieve, well then, we end up the way we are now.
'Dont hate the playa, hate the game' (sorry, but that slang quote seemed to fit)

We are ok last week and now we are bankrupt according to all the pin stripe bandits!

It only goes to prove the saying "You can fool some of the people some of the time, but not all the people all the time"

I wonder if Larry Kudlow will hang himself on air tonight!

I guess Jim Krammer was right, he might be crazy, but he is not insane!

[edit on 8/10/07 by mel1962]

Originally posted by nowayreally

Andy1033 For me, whats going on in usa shows that capitalism does not work, like communism. Both systems are about, having a few mega rich people, while most of us just get along barely all our lifes.

No, capitalism does work, but just as any set foundation, it can be ruined over time, by greed and broken rules.

Inheritance and welfare are the two key components in the destruction of capatilism as an ideal, IMO.
I just wrote about this on another thread, trying to explain this to someone living outside of America, Ill see if I can find my post....

It either works or it does not, communism may of worked but for some flaws.

Looks like the $ injections, and anticipation that the Fed will cut rates has stalled the hemorrhaging. The last 30 minutes will tell us how many funds/traders have enough faith to hold their positions over the weekend.

You're right Andy, in the scheme of things. Overall, neither communism or capatalism did work, but I guess my point is that, nothing will work once time, and corruption soil its principles.

I guess it's Any Raynd's "Atlas Shrugged" that has set me in this mindframe. I find current society as a whole seemingly fitting into almost every aspect of the novel, and her founding ideal is that capatalism can work, just without the a*$h@les. hehe!

both capitalism and communism would work, if it was a society of perfect people who weren't infected by greed, laziness, and superiority complexes...

but, well, both systems can be misused by those imperfect humans who hold the power....thus, the systems are only gonna be as good as the people within the society...

so, they threw alot of money at their problems and the illusion continues onward.....for a time.

I hope as many as can takes this time to shore up their finances, pay off their debts, and well, prepare the best they can for when the time runs out, because sooner or later, it's gonna run out.

If you're an employer, try to help your employees sustain themselves without the government aid programs, because well, the time will run out of them in the near future also I think.

IF you are relying on those programs. try to find an alternative...

Try to find ways to keep the money in your community in your community, and make your community as self sufficient as possible.

I don't think we can depend on the federal government bailing us out of this...or helping us...

You guys are right-on about the Fed's disregard for the little people in favor of major financial interests. The bankers were rescued today, and the market actually came back to life...but what about all the people going into foreclosure as I type?

So the Fed is buying-up all that bad (soon to be deemed worthless) paper because no one else will. With credit ratings falling left & right, pricing unreliable, and the SEC investigating the banks...the big firms can't clear their transactions because there's no trust left in the industry. This means they have no cash for the next deal, and business comes to a halt...so the Fed steps in to provide the needed liquidity. SWEET!

I'm confident that there are some big banking interests in jeporty, both here, and in Europe. We wouldn't be seeing this level of emergency infusions if there weren't. It's the monetary expansion that really sticks in my craw. Naturally the banks stay in business, while every American living on fixed income gets whacked at the level of purchasing power...and this isn't over by a long shot.

There outta be a law!

Bush wants to bail out the banks, but not the people!

I don't get it, if you bail out the people doesn't that bail out the banks and you have helped both entities, instead of just one!

Oh, that's right, the poor people who live in forclosed houses because their spouse is fighting in Iraq or Afganistan don't count. Besides the Bush twins have to have spending money for their drugs and alcohol!

What a country, it makes me sick!

[edit on 8/10/07 by mel1962]

Originally posted by mel1962
Bush wants to bail out the banks, but not the people!

[edit on 8/10/07 by mel1962]

And who uses the banks Everyone not being directly helped.

Indirectly it helps the average joe, but no where NEAR enough to help them out of the hole... Banks still get out better than us, like you said...but we arn't totally ignored.