Are Stocks 80% Overvalued?

In response to an earlier post on QE...
Some people will argue that it did indeed break the system and that it never ended, it only shifted into a less obvious manner.
And as for the hypothetical selling off of the U.S. Gold reserve...
Some people will argue that it's already done in order to supply China and others seeing as yearly production doesn't fill the yearly demand.

The U.S. Dollar used to be backed by gold, then oil and now it's backed by the military. Fiat currencies worth stem from one thing and one thing only, confidence. Once people loose trust in the currency it's all downhill from there.

 

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"Fiat currencies worth stem from one thing and one thing only, confidence. Once people loose trust in the currency it's all downhill from there."

Whether 'stackers' would believe it or not, PM is exactly the same. If confidence in PM is lost, gold will be down there also....Oh, wait it is, or at least moving downhill.

 

There is a substantial difference, PM needs to be mined whereas fiat currencies are created with the push of a button. You are unlikely to see a nation quadruple the existing amount of gold in a few years time...
And in many currencies gold has actually appreciated.
Anyhoo, I'm not here to convince anyone about anything. Believers in central bank omnipotence will go about business as usual and those who are less convinced will make appropriate plans. Let the chips fall as they will.

And the thread is about whether or not stocks are overvalued or not. Most people will likely agree that the stock market is due for a correction.

 

Exactly, I have made the argument before. GOLD IS FIAT. A basically useless element that everyone agrees and accepts that is has value. What's the difference?

 

On the other hand, if the powers that be do not want to expand the money supply and slow things down, they just don't print and raise interest. On the Gold standard there is really no way to stop the expanding money supply. I will try to find the link, but at one time there was an issue with too much Gold being mined.

 

One thing that doesn't change is the stability and security you get from a diversified and well managed portfolio.

The idea being, if you ever have to sell quickly, there should be some good equity somewhere in the portfolio. As assets appreciate in value, you have the option at that time to allow it to keep growing or take the profit off the table and put it somewhere else.

The idea is to manage risk when you are younger and use the profit from the good times to slowly move towards less risk and stable value as you get older.

 

Does it matter when the Big Giant Mushroom is the one supplying GDP data?

 

My opinion is the numbers are more accurate than you believe, and as always, calling shenanigans is fine, but you need to back it up with something for it to have any meaning at all. The accuser presents the case.

 

How can you know what real GDP is if you don't know what the real inflation rate is? So after what? 30 years of excluding food and energy from the inflation figures because they are too volatile, they still can't come up with software that can deal with cold winters and hot summers? Maybe I can't prove it but I'll never believe it. And even if I could prove it, what would be the point? You won't believe anything that's not in the status quo play book any more than I would believe anything that is.

 

I asked you to check this out forself once, but you refused. You can check out the inflation of food by yourself. You simply select your own RANDOM basket of goods and use the the Internet to find the price 10, 20 ,30 ,40 years ago. Thirty or Forty items and the picture will start emerging. The GOV figures are pretty darn accurate. This is only a few hours work. Why you won't do this, I don't know. Can you clear that up for me?

 

Take a look at shadowstats.com

 

Did you verify the data???? or just take their word on it. My guess is the latter, so the obvious question, is why would you believe these folks blindly over the US Gov. I don't get that. Also I did not ask Longnine just to accept the numbers, I asked for him to research for himself. If Longnine does not respond, can explain why the conspiracy folks are so unwilling to search for the truth?

EDIT: OH it just got worse. I just noticed you need to pay $175.00 a year for that. With that alone, you have to mark it off as unreliable. Lets face it, no one would pay that kind of coin, just to read that the Gov numbers are accurate. They have a huge motivation to print stuff people want to read, even if it is just fiction.

 

When you write the text books, control the curriculum, and teach that info to the students, they believe that as fact throughout their life. Once you have that in place, you can write, print, broadcast and use whatever other form of communication available to you to state what ever you want as fact and it's believed because the masses have your message ingrained as fact.

Don't believe me, how else did the Nazi's control Germany for 15 years with nothing but lies? The fed and their cronies have had 100 years to do their thing...

 

I have a question

 

I sold 97 coins to a guy a week ago for 15k today he calls and wants his money back how show I handle this

 

a) you're way off topic
b) we have no info other than he wants his money back
c) welcome to Cointalk

 

He said he cannot get them graded cause 8 out of 97 were scratched up to bad. But there no contact it was a cash deal

 

Not buying the first part, a good part of the American public has been educated to the point to question, do their own research, figure out complex issues etc. It is not that we trust the Gov blindly, we look at it with an open mind. When the stacking crowd won't even take a few hours to research what they are spewing about, well that is just a real head scratcher to me.

For the second part, you are incorrect, the Nazi's did not CONTROL Germany with lies, thye just told the lies. They controlled the country with Brute force, and that is last I am saying about that because it very well could get flaged for being political

 

So I shouldn't worry about it. He's a member or the ANA has made threats with suing me. And before we made the deal complete I asked him if he was happy with the coins and he said yes and gave me 15,000.00 his name was clark street

 

I do my own food shopping all the time. Your right. Prices hardly ever go up; instead the quanities go down. Don't the status quo spin doctors check that part or is that the job of another bureau?