01:49:10 am on
Wednesday 19 Jun 2024

Dow Loses 800 Points
Matt Seinberg

Before we went on vacation, our idiot president announced yet more tariffs on China. His action sent the stock market plunging 800 points. The upsetting part for me was I was planning on closing out an Individual Retirement Account (IRA), but totally forgot about it and, thus, lost all that value.

Close out or hope.

My little IRA took a hit that won't recover for a while, if ever. I'm going to wait for the next statement to show up in the mail before I make a final decision on what to do with that account. I may still close out.

I asked a friend at work, today, when he thinks those 800 points will return. He said he didn't know. This fellow looks at the stock market all day and is reasonably knowledgeable when it comes to what is going on in the market. When he said that he didn't know, I felt a shiver of fear run down my spine.

He said the Chinese are hoping our idiot president won't be re-elected and the next president will rescind the tariffs. The Chinese work a much longer view than does the West. My co-worker also said that since the Chinese are the largest thieves of technology in the world, sanctions might remain to help keep them from stealing from us.

Then the stock market plunges 800 points. Can you believe it? That decline came after a tariff statement by Trump. Whom do you blame?

I know a fellow that runs a small business, out of his home. He produces HO Slot car chassis and bodies. The 25% tariffs are hurting his business and although he hasn't raised prices, yet, he no longer offers any sort of quantity discounts.

He's told his customers that when his wife retires, in a year, he's going to close the business and retire, as well. The funny part is he keeps coming up with new products and ideas. Now we're left guessing if he will close the business or not. I think if the tariffs go any higher, that may make the decision for him.

Problems of moving out of China.

My company deals with many vendors. Many, if not all of them, moved production out of China and into Vietnam. It was a great idea, but there are some pitfalls to the move.

The companies have to find a location for the factory, move all the equipment and then train new workers. That means there is at least a two-month lull in production; sometimes our inventory runs out before the new product arrives. That means a loss of business because most people don't want to wait two months for any product; they are used to getting it in a week or today.

I have always believed our idiot president is in this job only for himself and his rich friends. That tax reform last year certainly showed that as the case, since the middle class got royally screwed, with the changes that limit deductions, whereas large corporations and the rich pay little or no taxes. What's wrong with that picture?

The tariffs on Chinese products could cost the average American consumer an average of $1000 next year. Holy cow, Batman. How many middle class people can come up with that extra money? We're certainly not getting it in our next tax refund.

I asked my market-savvy friend to tell me when the market might recover those 800 points. He pretty much laughed at me and told me not to hold my breath. He's a trump supporter. I can't understand how he's not taking this more seriously.

Trump must go.

I guess I'll just have to keep an eye on the market myself and hope for the best. I really can't wait for the 2020 election or impeachment, whichever comes first.

Matt Seinberg lives on Long Island, a few minutes east of New York City. He looks at everything around him and notices much. Somewhat less cynical than dyed in the wool New Yorkers, Seinberg believes those who don't see what he does like reading about what he sees and what it means to him. Seinberg columns revel in the silly little things of life and laughter as well as much well-directed anger at inept, foolish public officials. Mostly, Seinberg writes for those who laugh easily at their own foibles as well as those of others.

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