Asta Charles

Asta Charles
Location
Los Angeles, California, USA
Birthday
December 12
Title
Myth Maker
Bio
A foul-mouthed commentator on life, society, politics, pop culture, and economics. I spend a lot of time in bars. I wrote a manuscript about the perils of online dating and its ultimate cost to society. It's not published. Meh.

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MAY 7, 2010 1:31AM

The REAL American's Guide to the Stock Market

Rate: 11 Flag

stock-market-chartSince the sordid soap opera love triangle of banks, the government, and bailouts began in late 2008, we haven't seen much horrifying activity from the stock market. Horrifying activity from the job market, yes, and that shall continue to stay that way. I wouldn't expect God to shit out a massive pile of employment on us any time soon, as many business conservatives would like to believe (they call this by the oxymoron the "Jobless Recovery"). But nevertheless, those of us with jobs have seen our 401ks running a fucking marathon of recovery in the past year. Of course that's because it was below sewage level one to one-point-five years ago.

The way the stock market works has clearly changed. It isn't the steady 7% per year that we've come to expect since the 1930s. Now it's kind of like up ninety billion percent one day, down ninety billion and three percent the next. Such as the Grand Canyon of a 900 point dip that occurred today. So how does this happen? Just how does all this magic witchcraftery stock market nonsense work? 

When I was in business school, they taught that it has to do with a whole host of factors. Including but not limited to: company product demand, assets, debt, liquidity,  price/equity ratios, all kinds of fancy shit that only people who own their own private helicopters understand.

Well, they think they understand how it works anyway.

I'm going to let you in on the truth. The REAL American's guide to the stock market.

See, first, someone gets a huge cash- boner. In this case, it happened to be on Monday, May 3rd. So this guy with the cash-boner he calls his friends and starts a rumor. Not about his huge cash-boner, but about something else, something that seems inconsequential but is actually a sneak attack. It's something that will make his company look bitchin'.

"So, I saw these numbers today, the consumer confidence index is up, and the volatility index is down." He says with scotch on his breath.

 "Y'know, you might wanna sell your shares in your company today, all the billions of them, by the end of the day you'll thank me." He'll continue.

His confidant will agree, "yes, absolutely, thanks for the hint...I can't wait to start jacking off in my money pile." 

They hang up and go off to do their respective deeds.

The next day the market crashes.

Wha'happened?

Well, it was the anniversary of the Kent State Shootings. That didn't help.

It was also a Tuesday, and you know, September 11th happened on a Tuesday. That makes investors nervous.

Also,  it was the fourth of the month. In Japan, the word for four "shi" means "death".

Then some bees flew in front of my window....grrr how I hate them.

Then a bunny somewhere sneezed.

Oh, and a whole bunch of uneducated investors had stop losses scheduled in their online trading accounts.(Meaning, when a stock starts to drop, their account will automatically sell it when it reaches a certain price. If this happens over and over again to millions of shares, the stock price will lose demand and it will drop like the Columbia Space Shuttle). Also, a bunch of collusionist motherfuckers planned to dump their stocks because of the risk of losing their value of their bond portfolios due to the issue with Greece.

Then today, maybe, just maybe, someone entered a sell for 16 billion shares of Proctor and Gamble stock instead of 16 million. Oopsy daisy!

And a whole bunch of other shit happened. Like, I ate a burger.

And that, kids, is how the stockmarket works.

 

 

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Comments

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Finally, an explanation that makes sense considering everything. Thanks for clearing things up.
Oh yeah, you got it. Anything I can do to serve the educational interests of the American public. Now I'm going to go sacrifice a goat and hope the Dow goes up tomorrow. BIG MONEY!
Yep. You nailed it, Asta. Too many day traders, not enough Indians.
Somewhat like yawns, the "cash boner" is contagious amongst all those testosterone driven day-trader caveman-style hunters out there. Size counts in that arena, even if they lie like the kid down the street who attempeted to shave my cat.
BURP!!!! That ought to throw the market off by another 30 points!

{{{R}}}
Here's another hot tip. Never get investment advice from a site like this one. Look back at posts from a year ago and see how the Chicken Littles missed one of the great buying opportunities of our time.

The end of the end of capitalism as we know it.

r
Thank you so much for clearing that up. Now if only Wasll Street would read this...
uh-oh...my typo just caused the market to jump
@Will: It's 100% sad and true that the economic function of our country isn't measured by anything legitimate. The GDP isn't even a real factor. We should measure it by the GNP, if anything.
@Linnnn: I actually first drafted this story with a circle jerk, but thought maybe that was an unnecessary analogy. And, yes, the lying perpetuates the lying.
@Rod Emmons: Just don't turn on the garbage disposal!!! Whatever you do! You just DON'T KNOW what could happen!
@Con Chapman: Popular investment advice is a funny thing. Sure you should make your own choices, but for every one person that does, there are five that don't. Those five are listening to Jim Cramer and the like and therefore driving up the price of whatever stock he touts. You'll lose out by not electively paying attention to the financial fame whores.
@Kathy Riordan: Thank you. Look for my column on Bloomberg about predicting the market by reading tea leaves next week.
I guess I can toll my copy of "A random walk down Wall Street" now
I guess since I didn't sell my soul to the devil upon graduation from business school, cash boners and money piles are out of my reach. I'll just keep my writing fortune under my bed, all $25.53 of it. Great post.
@Cyndi Baker:
Thank you. Remember that episode of the Simpsons' in which Bart sold his soul to Milhouse for $5? On a piece of paper? Well, even if a soul isn't a tangible thing, its manifestation into conscience or whatever, sure does make a human.