Wall Street sells off as Ukraine-Russia tension rises

Comments (9)
Jude1 wrote:

The Stock Market Manipulation becomes evident? The Federal Reserve add’s currency to the market each month that goes into U.S. companies to the tune of 75 billion dollars now. The Companies use the money to buy their own stock and other stocks of U.S. companies. This has fueled the rise in stock prices and any talk of slowing down the Fed. injection the markets get rattled. The U.S. consumer are and have been a net seller of stocks since 2009 so has Institutional Investment companies. So the Federal Reserve has created this monster that feeds a market manipulated process. Companies borrow money to buy stocks to drive internals, is this house of cards ready to fall?

Mar 03, 2014 11:04am EST  --  Report as abuse

Time to take a page from the successful 1948 Italian-American letter writing campaign to their families still in the homeland against a communist electoral victory there. Those with relatives still living in today’s Russia who are not themselves ethnically Russian should contact their family members and share the insight of how Putin’s justification of military intervention in Crimea is belied by KGB Russia’s treatment of other nations (theirs) within its borders. And then ask them to act accordingly.

Mar 03, 2014 1:23pm EST  --  Report as abuse
Crash866 wrote:

You voted…for this…twice…

Mar 03, 2014 2:25pm EST  --  Report as abuse
Tiu wrote:

This could go on for a while. I doubt Putin needs to go in much more than he has already, but regardless of what Putin does I can’t see the Ukraine sorting out its government very quickly, and they’re quite volatile over there.

Mar 03, 2014 3:52pm EST  --  Report as abuse
Harry079 wrote:

@Jude1:

The $75 billion you refer to buys on a monthly basis MBS’s(Mortgage Backed Securities) from Fanny, Freddie and other quazi government mortgage entities.

They also buy Treasury Bonds which some banks do make some money off but what you say in your post is nearly completely false.

Now the extremely low borrowing rates(which you mentioned) do allow companies to do the stock buybacks.

Mar 03, 2014 4:09pm EST  --  Report as abuse
divinargant wrote:

@Harry079: And on the subject of margin debt for buybacks it is now higher than at the 2007 peak for the S&P 500 which was a much different time. Even some of the main st. investors are getting into the action via debt to participate and you got to wonder with all the complacency going on just how much real support these new highs have. I still maintain this cheap money that is available is creating its own set of problems and will come back to bite us in the end…so to speak.

Mar 03, 2014 5:21pm EST  --  Report as abuse
fred5407 wrote:

Wow, we really have an unstable government and stock market in the United States where one little bump sends everything askew.

Mar 03, 2014 6:17pm EST  --  Report as abuse
lkofenglish wrote:

this is absolutely NOT about “political uncertainty.”

Indeed…we have “too much certainty” now.
There is no going back now…the Rubicon has been crossed.
One does not simply “walk on in” to “Kiev Rus.”

Mar 03, 2014 7:18pm EST  --  Report as abuse
DivinePharaoh wrote:

Seriously… a country goes into chaos, the western half takes over the capitol and the eastern half still likes Russia… If Crimea still wants to ally with Russia, I do not see why it is so unreasonable that Russia is helping them. Russia is their neighbor.

A comparison would be like if Canada was democratic and a bunch of communists from the north raided the capitol and said we are communist now while South Canada said we still want to be democrats and the U.S. stepped in and said we are going to defend South Canada Democracy from the North. Would the U.N. come in and say anything such as the U.S. is interfering with the Canada’s sovereignty? I don’t think so.

The U.N. and Washington are sticking their noses where they don’t belong and are out of line.

Mar 04, 2014 1:40am EST  --  Report as abuse
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