/biz/ - Business & Finance

>>7441685
just buy bonds in your brokerage account.

they always rise during a crash

>>7441707
Don't I need to hold them for a certain time though before I can sell?

>>7441707
Lol, not this time my friend. This is going to be a soverign debt crisis the likes of which the world has never seen

>>7441781
What? How so

>>7441823
have you seen the bonds market?
Now THAT'S a real bubble

>>7441879
>>7441781

Well where would be safe other than in a savings account?

>>7441937
Commodities, certian overseas stocks (although these are bound to go down if the global market does, just by a lesser degree), certian currency's, usd is going to be inflated to high heaven to pay off goverment debt. Weimar style baby

>>7441685
GLD etf. Look at the history of it during/after the last crash.

>>7441685
>>7441781

People who hope there is some sort of global economic collapse imminent and think there is any asset your can put your money to grow during that time is fucking retarded. Maybe yellow metal will still exist at the very least in such an event, that doesn't mean buying a couple ounces of it today would make your life better off after a financial Apocalypse.

>>7441685
just buy gold you dumb cunt

>>7442357
You can't get that liquid quickly though

>>7442449
Then do this.
>>7442123

>>7442281
Global economic collapse doesn‘t mean apocalypse now. 1929 for example, if you bought hedges you would have made out like a bandit. If its worse than that i agree that its not going to matter anyway once you have a supply of food and water

>>7442574
How does one short the DOW?

>>7442574

Even if you were buying stocks right before 1929 it only took a few years for you to recover.

Most people only get fucked because they oversize their position and when a recession hits they don't have enough savings in cash so they have to sell things like stocks low even though its the best time to hold at that point.

The best thing to have in a recession is to make sure you have enough cash to not just buy more low, but to actually live on if you need to so you don't have to sell stocks.

>>7442655
Put options, they were the cheapest in 3 years a month ago but this drop will have sent the prices way up. I think you could also just short it like a regular stock but if you though it was going to be a major move, you‘d buy far out of the money puts

>>7441755
no, bond ETF (just a stock whose underlying asset tracks bonds) can be sold whenever.

>>7441781
>>7441823
>>7441937
>its a bond bubble

these retards have literally been wrong for a decade now. lol

>>7442714
But if you looked at it and said that it was overvalued and due for a correction, bought hedges, then bought back in when it crashed you‘d make way more. I agree that most people would probably find a way too lose money even doing this though.

>>7442866

Yes, and you can hedge with cash.

>>7442793
Sub 3% interest rate is sustainable right? Just cause they have managed to sustain this manipulation this long doesn‘t mean that it doesn’t eventually have to correct, and the more debt is built up, the more certian it gets.

>>7442866
if you look at all the standard measures of 'overvaluation', like price earnings/ cyclically adjusted price earnings etc etc. you wouldve sold this bull market in 2014 or 2015, and been on the sidelines since and lost a FUCK ton of money.

you cant time the market. stocks prices are a random walk.

>>7442986
bubbles dont persist for a decade plus. They last 1-2 years tops.

there is no bond bubble.

The low interest rates just reflected economic stagnation and low growth. There wasnt a ton of business or private borrowing (overleverage) at those low rates, because there wasnt a lot of economic opportunity/good uses to put the money too.

If its such cheap money why didnt you take out a huge loan at 1% in 2010 and use it to make a fuck ton of money? lol

>>7442997
And you‘ll lose all of those gains when it corrects, like we‘ve just seen with all the crypto tards on this board. If something is over valued you should be selling it, or atleast be hedging properly.

>>7441685
USD savings account at 1%

>>7442091
Crypto would be a great if they do this. Literally guaranteed deflationary...

>>7443102
Wrong.

On average the stock market goes up, so you are always better off staying in over the long run than staying out.

You dont understand that "overvaluation" metrics are arbitrary. There is no comparison between crypto and equities.

I am hedged, I have bonds which are strongly counter cyclical and will rise when the stock market crashes to balance out my portfolio. But Im not cashing out all my stocks right now to put them in bonds or cash thats full retard

>>7443062
This is null and void when you realise that the fed prints money to buy treasuries. This is not the prices being set by the free market, its fed policy to try and stimulate the economy. And so far its done nothing but force money into assets at stupid valuations. Growth has been at %3 for years

>>7443102

Overvalued according to what? A lot of people are saying the economic fundamentals are strong right now (not that I agree with this) but there is obviously a disagreement and you can't deny people are buying stocks due to the rising price. People see companies making much more money in the future so the prices rise to match the future expected value. If companies really are going to make a lot more money next year, then stocks aren't "overvalued."

Even if stocks are overvalued its a huge risk to trade against a long running decade long up trend. You are trying to call the top to get an extra 10-20% return on shorting, instead of waiting for an extended decline which would make a downtrend much more likely.

>>7443255
fed doesnt print money, the treasury department does are you literally retarded? lol

>>7443320
Whatever, im not american. Point is that bond returns are artificialy low and that the debt that thats allowing the us gov (or whatever fucking department) to run up massive debts which can‘t be paid off without inflating the currency

>>7443320

Not sure if you're trolling but the treasury just does the physically printing of paper bills. The fed decides when to "print" money.

>>7443492
Alright, thank you.

Also can one of you geniuses tell me how bonds are a hedge when interest rates are at historical lows? How can you profit from bonds when there‘s nowhere lower for returns to go, you think people are going to be buying 30 year bonds at %1?

Will this crash make me lose my job, and maybe my parents' low wage jobs too? ;____;

I don't wanna be poorer

>>7443862
Whats your job?