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» **OFFICIAL** Trading and Investing Thread: Part XVI -- BAG HOLDING EDITION
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post 1678699983 03-10-2023, 10:45 AM
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#2641
  1. usersignup2
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Originally Posted By TugOfPeace
Is it too early to confirm this was a one day selloff?
inb4 Tug asks if he should average down on SIVB
post 1678700853 03-10-2023, 10:59 AM
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#2642
  1. 2020Wellness
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Helluva week right here! All this red and just had the biggest income week of the year so far. Another 20% injection feels NICE.

Funds bought - VOO, VUG, VYM, BND.
trainingwithryan.substack.com
post 1678701243 03-10-2023, 11:05 AM
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#2643
  1. Carbonfibre
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how fast they closed SIVB.

shiit escalated real fast.

I bet you there is more risky idiot banks that were doing dumb things.

Market started dumping again as soon news hit that SIVB got shut down.


market is so spooked now they are begging for fed pause on 22nd

trying to prevent any more hikes.


SIVB idiots are holding $90B of 10+ year mortgages with an average yield of just 1.6% those are phuckedddd now.
post 1678701913 03-10-2023, 11:16 AM
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#2644
  1. taf1968
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Someone was asking what the next catalyst to drop the market could possibly be?

How 'bout rising rates combined with bank failures.
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post 1678702193 03-10-2023, 11:21 AM
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#2645
  1. Carbonfibre
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This bank was doing idiotic things.

Does everyone now need to get bailout because some jackass thought rates can't stay at 5% and went max leverage.


If the fed bends over here and gives up starts cutting rates.


Inflation is going to explode.


This is double edged sword.
post 1678702563 03-10-2023, 11:26 AM
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#2646
  1. Destor
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Fed ain't gonna stop, Silicon Valley in particular is likely staring down the barrel of further rough times ahead as the free money spigot has been closed up. Pain is necessary to get inflation back in check.

But I don't doubt that events like this, and likely whatever else is coming, are why people and the market so desperately hoped rate cuts were coming this year. Rate hikes so far have been relatively easy, but it will become more and more painful as time goes on here and the Fed's job is to stay the course until it's done because inflation out of control will be far worse than what happens as a result of the QT.
post 1678703363 03-10-2023, 11:39 AM
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#2647
  1. hardestgainer
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I hope Powell drops the hammer, nobody getting any bailouts and 100pt bump while flipping the bird to the smooth brain Elizabeth warren for trying to put the blame on him for the inevitable recession that’s incoming
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post 1678703623 03-10-2023, 11:43 AM
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#2648
  1. dankydank
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Originally Posted By Abzu




Are we still crashing right now?

This thread is sooo quiet now lol.

Most of this thread thought we were crashing and some were even rejoicing in profits just a week ago lol.



How are your calls doing the Profit
post 1678703643 03-10-2023, 11:43 AM
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#2649
  1. Carbonfibre
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those pos spacs / venture capitalist funds like Scamath were fleecing retail left and right

when music stops its omg

stop it no more rate hikes Jerome

save us.



kicker for next is gonna be

how many more of these small banks were doing dumb shiiit


if Fed bails these ****s out than middle class going to take shiit again.
post 1678704913 03-10-2023, 12:00 PM
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#2650
  1. _zman
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Seems like great news:

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post 1678706673 03-10-2023, 12:29 PM
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#2651
  1. GreatReset1
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I remember when CarbonCuck was saying inflation is going to be transitory.. just like his Uncle **** Joe claimed...

YOU ARE A JOKE!!!
post 1678707943 03-10-2023, 12:47 PM
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#2652
  1. SipNPiz
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Originally Posted By TugOfPeace
ZIM earnings are Monday - currently trading at $19.50/share, with an expected dividend ranging from $0.65 to $8.50 or so.

If they give an $8.50 dividend.. that is a hell of a dividend for a $19.50/share price.
Good luck filing your return with the 25% foreign tax withheld
STEM Wagie Brah
Oil/commodity based trader
post 1678707983 03-10-2023, 12:49 PM
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#2653
  1. RobParks2M
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Originally Posted By GreatReset1
THIS MESSAGE HAS BEEN FILTERED BY THE POOR PERSON FILTER. TO SEE MESSAGE CONFIRM >$20,000 INCOME
Wow the script I applied is working awesome!
Fitness connoisseur
0.4 mg of party's over wake the FK up!
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post 1678708303 03-10-2023, 12:56 PM
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#2654
  1. SipNPiz
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Originally Posted By TugOfPeace
? I already did, got a direct credit on my taxes for that 25%
Don’t you have to file an Israeli tax return ? Oh sounds like you just claimed the tax as an expense?
STEM Wagie Brah
Oil/commodity based trader
post 1678709063 03-10-2023, 01:07 PM
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#2655
  1. Carbonfibre
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the fight over rate hikes last 2 days is nuts

this is meme level stuff

look at the flip flopping

1 day ago

1 week ago

1 month ago

25BPS is now back again

you would have to say 25BPS is gonna be lock now.

no way does Jerome do it break market.

25bps is safer bet.

post 1678710103 03-10-2023, 01:22 PM
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#2656
  1. RobParks2M
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Originally Posted By Carbonfibre
the fight over rate hikes last 2 days is nuts

this is meme level stuff

look at the flip flopping

1 day ago

1 week ago

1 month ago

25BPS is now back again

you would have to say 25BPS is gonna be lock now.

no way does Jerome do it break market.

25bps is safer bet.

IMO it was never gonna be 50. Once we went 25 there wasn’t any going back. Just more hikes for longer.
Fitness connoisseur
0.4 mg of party's over wake the FK up!
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post 1678715343 03-10-2023, 02:52 PM
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#2657
  1. monty097
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Originally Posted By RobParks2M
Banking sector still getting hammered. I might try and catch a bounce. Sold my Sofi CC for next to nothing. Might just buy some calls for them and some other banks.
The big banks will be fine through all the SVB chit.

I bought some more JPM on the initial drop.
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post 1678722693 03-10-2023, 04:56 PM
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#2658
  1. Carbonfibre
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wonder what happens over weekend (tons of data is coming out left and right)....this is like the ftx in making expect with ftx there is nobody to back you up cause you know crypto....

here FDIC only protects up to $250K. all the start ups / vc funds used SIVB...

now companies filing 8K that they have money with SIVB that is now locked up (they are all saying its uninsured)

roku / roblox / blockfi

roku $2B in cash has $500 million locked up

roblox $3B in cash $250 million locked up

block $350 million locked up


will not be shocked if bunch of spacs were using SIVB the names everyone was in love with here. (cough)



so either by Monday someone buys SIVB at bottom of the dollar

JPM just said they have no interest in statement few minutes ago in buying SIVB.

or

Fed takes tax payers money and bails out these losers.

not only is retail holding bags still on roku / rblx / block after rugging

but now they will be paying even more since Fed will need to do something here to help these clowns.
post 1678724473 03-10-2023, 05:28 PM
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#2659
  1. Carbonfibre
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Originally Posted By monty097
The big banks will be fine through all the SVB chit.

I bought some more JPM on the initial drop.
That is correct. JPM is too big to fail.

JPM deposits are $3+ Trillion (SIVB is $200B ish)

Even if JPM was holding bonds that were underwater they have the capital to save off any 'bank run' with ease.

JPM / BAC / Chase all these banks are catered for middle class etc have normal customers.


Meanwhile Silicon Valley Bank was meant for the rich VC fund / startups.


97.3% of deposits at SIVB was over $250K and none of that is insured.
post 1678728143 03-10-2023, 06:26 PM
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#2660
  1. Destor
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Originally Posted By Carbonfibre
That is correct. JPM is too big to fail.

JPM deposits are $3+ Trillion (SIVB is $200B ish)

Even if JPM was holding bonds that were underwater they have the capital to save off any 'bank run' with ease.

JPM / BAC / Chase all these banks are catered for middle class etc have normal customers.


Meanwhile Silicon Valley Bank was meant for the rich VC fund / startups.


97.3% of deposits at SIVB was over $250K and none of that is insured.
Kinda sounds like exactly the type of wealth that needs to be destroyed to help bring inflation under control
post 1678732473 03-10-2023, 07:30 PM
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#2661
  1. RobParks2M
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Originally Posted By Destor
Kinda sounds like exactly the type of wealth that needs to be destroyed to help bring inflation under control
Perfectly targeted net destruction ayyy lmao
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post 1678733033 03-10-2023, 07:48 PM
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#2662
  1. Carbonfibre
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Originally Posted By Destor
Kinda sounds like exactly the type of wealth that needs to be destroyed to help bring inflation under control
Its not clear yet just how big fall out will be.



Long story short.

2021 was the boom of startups

venture capitalist were flushed with cash (fed printer)

startups went to Sillicon Valley Bank to store that money that rich folks were throwing around.

SVB bank holding went from $60B 2019 to $200B by end of 2021.

SVB was getting so much money they didn't know what to do with it that they couldn't loan it out fast enough

Management at bank decided to buy bunch of long term bonds like mortgage backed securities that don't mature in 10 years.

Problem is they thought inflation was transitory and those bonds were never going to lose value (forever low interest rate mentality)


Well end of last year we saw bunch of layoffs most was concentrated in tech sector cause money was thrown around like it was raining money.

AI loan sharks / scooter companies / electric this that etc.

As startup space was bloated companies had to rely on pulling more money out from SVB (most startups don't make profit for long time just rely on venture capitalist to fund them till they turn profit)


Something happened real fast that SVB two days ago decided to do fire sale on their bonds to improve balance sheet.

Once startups got sniff of this.

Most started to panic and run at the bank happened / hence SVIB crashed and now gone.

Regulators came fast and shut it all down.

What happens Monday nobody has clue yet.



Someone bigger buys them out

They get bailed out

No clue.



edit;

there it is

absolute insane $42B run on the bank on single day.

post 1678733123 03-10-2023, 07:49 PM
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#2663
  1. Destor
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Originally Posted By RobParks2M
Perfectly targeted net destruction ayyy lmao
I mean really, who better? These are likely the parties who benefitted most from the low rates, money printing, asset inflation
post 1678733303 03-10-2023, 07:54 PM
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#2664
  1. RobParks2M
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Originally Posted By Carbonfibre
Its not clear yet just how big fall out will be.



Long story short.

2021 was the boom of startups

venture capitalist were flushed with cash (fed printer)

startups went to Sillicon Valley Bank to store that money that rich folks were throwing around.

SVB bank holding went from $60B 2019 to $200B by end of 2021.

SVB was getting so much money they didn't know what to do with it that they couldn't loan it out fast enough

Management at bank decided to buy bunch of long term bonds like mortgage backed securities that don't mature in 10 years.

Problem is they thought inflation was transitory and those bonds were never going to lose value (forever low interest rate mentality)


Well end of last year we saw bunch of layoffs most was concentrated in tech sector cause money was thrown around like it was raining money.

AI loan sharks / scooter companies / electric this that etc.

As startup space was bloated companies had to rely on pulling more money out from SVB (most startups don't make profit for long time just rely on venture capitalist to fund them till they turn profit)


Something happened real fast that SVB two days ago decided to do fire sale on their bonds to improve balance sheet.

Once startups got sniff of this.

Most started to panic and run at the bank happened / hence SVIB crashed and now gone.

Regulators came fast and shut it all down.

What happens Monday nobody has clue yet.



Someone bigger buys them out

They get bailed out

No clue.



edit;

there it is

absolute insane $42B run on the bank on single day.

Imagine being Roblox/Roku and losing 20% of your net worth on your checking account lmao
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post 1678733673 03-10-2023, 08:00 PM
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#2665
  1. Carbonfibre
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My bigger question what in the flying phuck happened to stress tests that Fed said it does on banks.

How was SIVB overlooked.

CEO was sitting on the fed sf board and his own bank did not have risk officer for year.

He just got told to phuck off tonight.

If Fed bails these clowns again this is 08 all over again. Bankers getting free pass.

https://www.reuters.com/markets/us/c...ed-2023-03-10/


Also just happens this CEO of SIVB sold $4 million of stock few days ago.

Lmao what a corrupt system.








edit:


Just want to add something.

If this turns out to be one off.

Fed/FDIC by Monday will have solution.

As long they make the depositors whole. This crisis could be just blimp, if there is more than SIVB than who really knows what depth of this situation is gonna be.

(one off than KRE ETF should rebound nicely)

One bank being stupid and doing stupid things. They can control one fallout. Systems are in place.

Equity holders of SIVB can go phuck themselves just need to move the depositors to another bank they get their money out than everything solved.
post 1678737743 03-10-2023, 09:03 PM
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#2666
  1. Abzu
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Originally Posted By dankydank
How are your calls doing the Profit
Lol still emotional I see.

I don't have any calls.

So are we crashing?
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post 1678740053 03-10-2023, 09:35 PM
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#2667
  1. Abzu
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Originally Posted By taf1968
Someone was asking what the next catalyst to drop the market could possibly be?

How 'bout rising rates combined with bank failures.
This year will be about growth and admitting mistakes lol.

Jerome already triggered the recession a few hikes ago and he is STILL going lol.

Inflation is not the story of 2023, it's going to collapse and the Fed will act surprised lol.







We all know with a significant degree of certainty that the fed is going to keep raising rates this year but pause at some point.

We all know with some degree of certainty that it will be in 25bp increments.

Now if you can find the terminal rate, you can predict when the Fed pivots.
I: Self, Lord and Master.

"I rub my hands when my palms itch."

"I call you Son not because you Shine but because you Mine."
post 1678763523 03-11-2023, 09:46 AM
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#2668
  1. taf1968
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Originally Posted By Destor
Fed ain't gonna stop, Silicon Valley in particular is likely staring down the barrel of further rough times ahead as the free money spigot has been closed up. Pain is necessary to get inflation back in check.

But I don't doubt that events like this, and likely whatever else is coming, are why people and the market so desperately hoped rate cuts were coming this year. Rate hikes so far have been relatively easy, but it will become more and more painful as time goes on here and the Fed's job is to stay the course until it's done because inflation out of control will be far worse than what happens as a result of the QT.
Pretty much. The Fed isn't stopping, much less actually cutting, anytime soon. I didn't think they'd go 50 point this next time around anyway . . . but they definitely aren't after this bank failure & panic. They'll just keep laying on 25 point bumps more times than some thought and hold it there.

Inflation needs to come down a lot further and things will have to get a whole lot worse before a cut comes. As you noted, NOT doing that will be far worse across the board vs the pain of continuing on the path we're on.
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post 1678766393 03-11-2023, 10:36 AM
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#2669
  1. NestBrah
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How do you guys see the USD performing over the next 1-2 months, especially with all this SVB chaos in mind?
post 1678776333 03-11-2023, 01:34 PM
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#2670
  1. _zman
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Originally Posted By NestBrah
How do you guys see the USD performing over the next 1-2 months, especially with all this SVB chaos in mind?
It is projected to decline to the mean. Which shouldn't be much change.
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