1. #1

    Exclamation How do we / Should we regulate the stock market ?

    I sometimes get the idea that things might work better, but I'm not very clever on the subject, which remains a very technical one.

    Still, when I read about Greece " If the Greece leaves Euro, investors will take the opportuny to attack Spain and Italy ". I don't understand. When I read about day trading, pension funds wanting to maintain a % rent at the cost of firing people in a company making benefits but not enough ... who can accept that ?

    Are those funds still " investing ", expecting a long term benefit, interested in what the company does, how it develops, or are they just watching an excel sheet and numbers at the end ?

    I don't know when, I don't know how, but I feel something needs to be done. I even wonder if some raw materials (wheat in example) shouldn't be out of the stock market .

    What do you think ?

  2. #2
    Quote Originally Posted by Strear View Post
    I don't know when, I don't know how, but I feel something needs to be done. I even wonder if some raw materials (wheat in example) shouldn't be out of the stock market .

    What do you think ?
    Why take some commodities off the market? That's worked terribly for narcotics.

  3. #3
    Deleted
    let the farmers work it out for themselves

  4. #4
    Quote Originally Posted by Nadiru View Post
    Why take some commodities off the market? That's worked terribly for narcotics.
    Do you know the difference between making something illegal and making it's futures untradable on a stock market?

    I'm not a fan of long term commodities futures, nor of shorting stocks. Also not a fan of the HFT and dark pools, but I'm not too sure what can be done about those.
    Quote Originally Posted by xanzul View Post
    Quote Originally Posted by obdigore View Post
    So if the states get together and work with the Legislative Branch to write an amendment to the federal constitution, you think the Judiciary (SCOTUS) could strike it down for being 'unconstitutional'?
    Uh...yes. Absolutely.

  5. #5
    Quote Originally Posted by Strear View Post
    I sometimes get the idea that things might work better, but I'm not very clever on the subject, which remains a very technical one.

    Still, when I read about Greece " If the Greece leaves Euro, investors will take the opportuny to attack Spain and Italy ". I don't understand. When I read about day trading, pension funds wanting to maintain a % rent at the cost of firing people in a company making benefits but not enough ... who can accept that ?

    Are those funds still " investing ", expecting a long term benefit, interested in what the company does, how it develops, or are they just watching an excel sheet and numbers at the end ?

    I don't know when, I don't know how, but I feel something needs to be done. I even wonder if some raw materials (wheat in example) shouldn't be out of the stock market .

    What do you think ?
    You don't you let it go people need to understand the stock market is nothing but gambling same as going to Vegas some times you win some times you lose it is a risk one that you should know before you start playing what we need to stop doing is bailing out people that lose in that gamble

  6. #6
    Quote Originally Posted by obdigore View Post
    Do you know the difference between making something illegal and making it's futures untradable on a stock market?

    I'm not a fan of long term commodities futures, nor of shorting stocks. Also not a fan of the HFT and dark pools, but I'm not too sure what can be done about those.
    As long as shorting is properly regulated, it's one of the few tools the stock market has to prevent wild speculation bubbles. It provides incentives to do research that can bring a company's value back to reality (it can be abused by intentionally using high volume trading driving prices up and then selling short, which is illegal, but it's hard to regulate, as well as a company lying on its quarterly earnings and then using a dummy to sell short for when the correction comes out, which is REALLY illegal and unfortunately, only slightly easier to regulate). Long term commodity futures allow companies to be able to plan out expenditures further into the future. Both are needed for our economy to work as ably as it does. Just because there are some abuses, doesn't mean they're not useful tools. It just means they need to be regulated better. The problem with regulating better is that it runs up against rights to privacy.

    How would you manage the commodities that you take off the market? How would you know what to sell them at? How would farmers get loans when they don't have a guarantee from futures on their crops?

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