The Financial Pages

Jose G. Perez jgperez at
Sat Aug 28 18:45:21 MDT 1999

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<DIV><FONT color=#000000 face=Arial size=2>George,</FONT></DIV>
<DIV><FONT color=#000000 face=Arial size=2></FONT> </DIV>
<DIV><FONT color=#000000 face=Arial size=2>    All you really
need is an inexhaustible supply of grains of salt <g>.</FONT></DIV>
<DIV><FONT color=#000000 face=Arial size=2></FONT> </DIV>
<DIV><FONT color=#000000 face=Arial size=2>    Seriously, the WSJ
used to publish (I don't know if they do anymore) some sort of finance guide
that included the information I think you want, which is how to read stock and
bond tables and so on. They used to give it out with a subscription, and perhaps
they still do, and probably have something similar online. Their site is a pay
site but I <EM>think</EM> you can get a free 1-month trial.</FONT></DIV>
<DIV><FONT color=#000000 face=Arial size=2></FONT> </DIV>
<DIV><FONT color=#000000 face=Arial size=2>    As to what it
MEANS, just consult Shakespeare: "a tale told by an idiot, full of sound
and fury, signifying nothing." Seriously, capitalist academics have done a
fair bit of research on day-to-day stock movements, and they've concluded by and
large it is all noise. A good introduction to a more scientific though 110%
bourgeois approach to the stock market is "A random walk down wall
street." </FONT></DIV>
<DIV><FONT color=#000000 face=Arial size=2></FONT> </DIV>
<DIV><FONT color=#000000 face=Arial size=2>    Frankly, 99% of
what you see and hear on the nightly business reports vis-a-vis wall street is
nonsense, usually anthropomorphic or tautological nonsense, and 99% of it
concerns speculation, NOT investment. The whole <EM>financial</EM> daily news
operations are really pimping operations for the brokerage houses. The endless
speculation of when the market will do this or that or the other, which stocks
will go up and which stocks will go down, and so forth and so on, is really just
one big scam. Over the short run, "playing" the stock market is just
another form of gambling. People CAN become quite wealthy by investing in
stocks, simply because, on average, after inflation, your money doubles every
decade or so (and the returns of the past 15 or 17 years have been even better),
but not if you're constantly buying and selling (and paying
<DIV><FONT color=#000000 face=Arial size=2></FONT> </DIV>
<DIV><FONT color=#000000 face=Arial size=2>    By and large, the
typical fund manager, analyst, or expert you see quoted in the financial press
or interviewed of CNBC or CNNfn is bullshitting. If they really DID have some
"great" idea that's going to allow them to outperform the market,
their clear fiduciary duty (and self interest) would lie in keeping it
<EM>secret</EM>. For example, if some analyst believes the shares of XYZ, Inc.,
are undervalued, the LAST thing he should do for the benefit of his clients and
his firm is blab about it to the whole world. Because, of course, the immediate
reaction of the "market" to that information will be to bid up the
shares.  As for their "economic" analysis, you'll see that
virtually the ONLY thing none of these worthies projected two or three years ago
is what DID, in fact, happen to the U.S. economy. There's not even any HONEST
attempt to impart knowledge of the economy, at least so far as the bourgeoisie
itself understands it. Thus we're constantly told that wage hikes
"cause" inflation, even though the basic mechanism that ACTUALLY sets
the price of goods and services (supply and demand) has been well understood for
a couple of hundred years. </FONT></DIV>
<DIV><FONT color=#000000 face=Arial size=2></FONT> </DIV>
<DIV><FONT color=#000000 face=Arial size=2>Jose</FONT></DIV>
style="BORDER-LEFT: #000000 solid 2px; MARGIN-LEFT: 5px; PADDING-LEFT: 5px">
    <DIV><FONT face=Arial size=2><B>-----Original Message-----</B><BR><B>From:
    </B>George Pennefather <<A
    href="mailto:poseidon at">poseidon at</A>><BR><B>To:
    </B>Marxism <<A
    href="mailto:marxism at">marxism at</A>><BR><B>Date:
    </B>Thursday, August 26, 1999 12:13 PM<BR><B>Subject: </B>The Financial
    <DIV>Hi Folks,</DIV>
    <DIV>Do you know whether there any website where I can pick up information
    as to how to read the financial pages? Or perhaps someone can tell me on the
    list can explain.</DIV>
    <DIV> </DIV>
    <DIV>Warm regards<BR>George Pennefather</DIV>
    <DIV> </DIV>
    <DIV>Be free to check out our Communist Think-Tank Website:<BR><A


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