General Electric: Signaling Economic Turmoil

The Dow Jones Industrial Average originally consisted of 12 companies.

Of those original companies back in 1896, only General Electric remains, and during the most recent recessionary periods it has proven reliably representative of trend.

During the collapse of the dot-com bubble, General Electric fell from roughly $60 per share in September of 2000 to nearly $20 per share in February of 2003, a whole 66-percent decline over 29 months.

Over the ensuing 55 months, General Electric shares would rebound over the 40-dollar level, only to tumble all the way down to $7 per share by March of 2009, as the world experienced the greatest financial meltdown since the Great Depression.

Since that low, General Electric has endured to again eclipse the $30-per-share mark, closing at $32.88 on July 15, 2016.

Since then, however, the stock has resumed its seemingly-secular downward trajectory to close at $17.45 per share at the end of 2017, completing a full 47-percent decline just before the new year.

With the lauded "January Effect" looming large, many investors and commentators recommend an allocation toward General Electric to take advantage of the historical trend.

However, the technical movements of stocks are rendered predictable only by their estimations against relatively normal, predictable conditions.

Should this downward movement instead indicate a broader trend for the greater economy, this may in fact portend something far more serious than any opportunity to buy the dip.

If immediate history is any indicator, a major economic recession is upon us.

Comments

Failure by Design

In the case for liberty, there is certainly some tolerance for error or failure, as it is generally suffered by the individual and not brought upon anyone by design . Wherever anyone seeks to empower government, however, one must be reasonably certain of the designs, the logic and the costs, and he must be equally honest about the unknowns as with the foreseeable consequences; after all, there is no margin for error where those designs are administered by the barrel of a gun. One must necessarily remember that government is a monopoly on force and coercion, that force and coercion serve together as the modifying distinction between government and enterprise. It is a kind of force and coercion not by spirit or intention of written law but in accordance with the letter and understanding of the enforcers in their own time, in their own limited judgment and impaired conscience. As opposed to a state of liberty, where mistakes, failures and crimes are unavoidable in the face of human f...

Rally for Route 66!

Keep up the fight for the Mother Road! Rally for Route 66! There is a lot at stake in preserving this irreplaceable monument to American history, not merely as a tourist attraction but as a means to permitting a glimpse into our past, as a means to virtual time-travel into a time and space otherwise inaccessible, as a means to capturing the imaginations of future generations and to preserving the memory of our forbears in both form and spirit. We are nothing without reverence for our forbears, without our heritage or our identity as a people, without the preserved memory of our history. Without these reminders, without the tangible connections to our past and the efforts which have forged our path and come to define us, without these monuments to the pioneering and the innovative, we are destined to forget all of that which makes us uniquely human, all of that which has afforded us so much insight and abundance, all of that which has given us pause to reflect and remember and to a...

Get Your Copy of “Death by Socialism” Today

Buy your copy of Death by Socialism today at Lulu , Amazon , Barnes & Noble , or Walmart . Every year, there is a list of the world’s top causes of death. The list ordinarily includes heart disease, stroke, pulmonary disease, lung cancer, tuberculosis, and malaria, among others. However, there is one cause of death that is conspicuously absent from this list; one that has claimed more than one hundred million lives over the past century alone, and one that has left countless mil- lions of lives and families in shambles. You will not find this cause of death listed on any coroner’s reports. You will not find any laboratories researching a cure. There are no fundraisers or public awareness campaigns around it. You will not even find a passing mention of it in any of the newspapers. It is the most ruthless of serial killers, and yet it never has its day in court. More than people, this cause of death has claimed entire civilizations. It is the ...

Paradocracy

Search This Blog