Adam Shell USA TODAY Published 7:01 AM EST Jan 7, 2019 If anyone understands how bear markets and plunging stock prices can upend a sense of calm and financial well-being, it’s me. I’ve spent the past 19 years at USA TODAY reporting and writing about the unpredictable Dow Jones industrial average’s good and bad days. And even though the Dow was rising and in a bull market for 15 of those years, the best lessons I learned about investing – and about myself and the way my brain and psyche react to violent market swings -- came when stocks were going down. Today is my last day writing about Wall Street at USA TODAY after voluntarily accepting an early retirement package from the newspaper’s parent, Gannett. In my final column, I'll share what I’ve learned about the market and personal finance since my first day here. In a two-decade run as a stock market reporter, “the market” has been my friend, but also an … [Read more...] about Dow: Stock market lessons from veteran reporter who covered two bears
What caused the stock market crash of 1929
During the Depression Stoke-on-Trent, like many other towns and cities, fell on hard times and children had few hopes that Santa would even attempt to complete their Christmas wish list. The end of the Great War and a new wave of optimism had led to a time of economic growth. Wealthy socialites lived up the Roaring Twenties in jazz clubs and cocktail bars. Times were improving for ordinary folk too; women over 30 had been given the vote in 1918 and by 1928 this was extended to all women over the age of 21. Primary school education was free from 1921 and started at the age of five while the school leaving age was raised to 14. But by the mid 1920s, the good times were over. Coal reserves had been depleted during the war and cheap competition from abroad meant Britain was importing more coal than it was mining at collieries like Silverdale and Hanley Deep Pit, which led to mass job cuts. The Great Strike of 1926 shut down the Potteries, with even The Sentinel stopping production for five … [Read more...] about Hard times…but even the city’s workhouses had a touch of the Christmas spirit
Adam Shell USA TODAY Published 5:32 PM EDT Oct 23, 2018 October is living up to its reputation on Wall Street as a month known for wild swings. The broad U.S. stock market dropped for the 12th time in the past 14 days Tuesday, putting it on track for its worst October since the 2008 financial crisis. The market, as measured by the Standard & Poor’s 500 stock index, has turned volatile since hitting a record high Sept. 20, taking a defensive turn. Investor psychology has become more cautious amid a growing list of risks that are putting a strain on the 9-year-old bull market. Those risks now include worries about corporate earnings after two industrial giants, Caterpillar and 3M, issued outlooks that worried investors, sending shares tumbling early Tuesday. That news added to existing investor anxieties caused by China’s slowing economy, global trade disputes and rising interest rates in the U.S., which makes borrowing more … [Read more...] about Stock market drops after Caterpillar, 3M issue disappointing outlooks
Adam Shell USA TODAY Published 8:19 p.m. UTC Aug 23, 2018 President Donald Trump, who has taken a lot of credit for the stock market boom since he took office, says a "crash" would happen if he were impeached. But Wall Street begs to differ, arguing that the forces driving the nearly $30 trillion U.S. stock market are far bigger and stronger than the influence of one person, even one as powerful as the nation's commander in chief. "One man does not move the market over the long term," says Thorne Perkin, president of Papamarkou Wellner Asset Management in New York. Trump, who raised the specter of his removal from office Thursday in an interview with "Fox & Friends," went as far as saying a bust would occur if he were to be forced out. "I'll tell you what, if I ever got impeached, I think the market would crash," he said, adding that without his kind of "thinking," economic results would get worse. "You would see numbers that you wouldn't believe, in … [Read more...] about Would Trump impeachment “crash” stocks, as president says?
Steve Keen is an Australian economist and author. He’s professor and Head of the School of Economics, History and Politics at Kingston University in London. You can support his attempts to build a new economics https://www.patreon.com/ProfSteveKeen. For years, Australia has been seen as the goose which laid the golden egg for workers, migrants and investors. Ironically, as America’s casino closes, it will eventually end up as a speculator’s paradise. The performance of the Australian stock market relative to its American equivalent since the Global Financial Crisis (GFC) shows the difference between a country where Quantitative Easing (QE) – the buying of bonds by the central bank to drive bond prices up and interest rates down, and thus encourage firms to invest and financial institutions to buy shares – was practiced and one where it was not. It’s both a warning about what could happen when the Fed starts to unwind QE, and a perverse … [Read more...] about Speculators will make hay from great Australian economic crash while workers pay the price