Scott
  •  Scott
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Wednesday, August 14, 2013 6:13:20 PM
This is not directly connected to the Amusement industry, however it does impact the business when it comes to dollars.
I thought I would post it here for owners and others to read/watch and then decide for themselves if they believe this and or if they should take some type of action for themselves and their operation.


BILLIONAIRES DUMPING THEIR STOCKS

Despite the 6.5% stock market rally over the last three months, a handful of billionaires are quietly dumping their American stocks . . . and fast.

Warren Buffett, who has been a cheerleader for U.S. stocks for quite some time, is dumping shares at an alarming rate. He recently complained of “disappointing performance” in dyed-in-the-wool American companies like Johnson & Johnson, Procter & Gamble, and Kraft Foods.

In the latest filing for Buffett’s holding company Berkshire Hathaway, Buffett has been drastically reducing his exposure to stocks that depend on consumer purchasing habits. Berkshire sold roughly 19 million shares of Johnson & Johnson, and reduced his overall stake in “consumer product stocks” by 21%. Berkshire Hathaway also sold its entire stake in California-based computer parts supplier Intel.

With 70% of the U.S. economy dependent on consumer spending, Buffett’s apparent lack of faith in these companies’ future prospects is worrisome.

Unfortunately Buffett isn’t alone.

Fellow billionaire John Paulson, who made a fortune betting on the subprime mortgage meltdown, is clearing out of U.S. stocks too. During the second quarter of the year, Paulson’s hedge fund, Paulson & Co., dumped 14 million shares of JPMorgan Chase. The fund also dumped its entire position in discount retailer Family Dollar and consumer-goods maker Sara Lee.

Finally, billionaire George Soros recently sold nearly all of his bank stocks, including shares of JPMorgan Chase, Citigroup, and Goldman Sachs. Between the three banks, Soros sold more than a million shares.

So why are these billionaires dumping their shares of U.S. companies?

After all, the stock market is still in the midst of its historic rally. Real estate prices have finally leveled off, and for the first time in five years are actually rising in many locations. And the unemployment rate seems to have stabilized.

It’s very likely that these professional investors are aware of specific research that points toward a massive market correction, as much as 90%.

One such person publishing this research is Robert Wiedemer, an esteemed economist and author of the New York Times best-selling book Aftershock.

Editor’s Note: Wiedemer Gives Proof for His Dire Predictions in This Shocking Interview.

Before you dismiss the possibility of a 90% drop in the stock market as unrealistic, consider Wiedemer’s credentials.

In 2006, Wiedemer and a team of economists accurately predicted the collapse of the U.S. housing market, equity markets, and consumer spending that almost sank the United States. They published their research in the book America’s Bubble Economy.

The book quickly grabbed headlines for its accuracy in predicting what many thought would never happen, and quickly established Wiedemer as a trusted voice.

A columnist at Dow Jones said the book was “one of those rare finds that not only predicted the subprime credit meltdown well in advance, it offered Main Street investors a winning strategy that helped avoid the forty percent losses that followed . . .”

The chief investment strategist at Standard & Poor’s said that Wiedemer’s track record “demands our attention.”

And finally, the former CFO of Goldman Sachs said Wiedemer’s “prescience in (his) first book lends credence to the new warnings. This book deserves our attention.”

In the interview for his latest blockbuster Aftershock, Wiedemer says the 90% drop in the stock market is “a worst-case scenario,” and the host quickly challenged this claim.

Wiedemer calmly laid out a clear explanation of why a large drop of some sort is a virtual certainty.

It starts with the reckless strategy of the Federal Reserve to print a massive amount of money out of thin air in an attempt to stimulate the economy.

“These funds haven’t made it into the markets and the economy yet. But it is a mathematical certainty that once the dam breaks, and this money passes through the reserves and hits the markets, inflation will surge,” said Wiedemer.

“Once you hit 10% inflation, 10-year Treasury bonds lose about half their value. And by 20%, any value is all but gone. Interest rates will increase dramatically at this point, and that will cause real estate values to collapse. And the stock market will collapse as a consequence of these other problems.”

See the Proof: Get the Full Interview by Clicking Here Now.

And this is where Wiedemer explains why Buffett, Paulson, and Soros could be dumping U.S. stocks:

“Companies will be spending more money on borrowing costs than business expansion costs. That means lower profit margins, lower dividends, and less hiring. Plus, more layoffs.”

No investors, let alone billionaires, will want to own stocks with falling profit margins and shrinking dividends. So if that’s why Buffett, Paulson, and Soros are dumping stocks, they have decided to cash out early and leave Main Street investors holding the bag.

But Main Street investors don’t have to see their investment and retirement accounts decimated for the second time in five years.

Wiedemer’s video interview also contains a comprehensive blueprint for economic survival that’s really commanding global attention.




Now viewed over 40 million times, it was initially screened for a relatively small, private audience. But the overwhelming amount of feedback from viewers who felt the interview should be widely publicized came with consequences, as various online networks repeatedly shut it down and affiliates refused to house the content.

“People were sitting up and taking notice, and they begged us to make the interview public so they could easily share it,” said Newsmax Financial Publisher Aaron DeHoog.

“Our real concern,” DeHoog added, “is the effect even if only half of Wiedemer’s predictions come true.

“That’s a scary thought for sure. But we want the average American to be prepared, and that is why we will continue to push this video to as many outlets as we can. We want the word to spread.”

Editor’s Note: For a limited time, Newsmax is showing the Wiedemer interview and supplying viewers with copies of the new, updated Aftershock book including the final, unpublished chapter. Go here to view it now.



http://www.moneynews.com...ce=taboola#ixzz2by6THtnd 
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thunderbolt85
Wednesday, August 14, 2013 7:43:51 PM
A sad thing indeed, the current adminstration is failing us and when this happens it will affect our business as well.

Some of us think its bad now with the loss of multiple trailers rides and "ride heavy" midways...we will be lucky to have just a few majors and kiddies then sad to say.

If inflation gets worse (and it will) and people have no money...all "fun money" will be gone...people will just be trying to feed their families.
Scott
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Wednesday, August 14, 2013 11:55:34 PM
Like I said ... it's for each man to read and decide for himself.

I can't see how they would have any financial gain by preching doom and gloom. These are the men who know more than us... Anyway.... I've learned that 15 years ago... if someone had preached to me about the Crash and recession we went though in 2008 I wouldnt have believed it. If they told me New Orleans would be devistated by a hurricane and thousands would move out, I wouldnt believe it, if they had told me the world trade centers would have fallen over I wouldnt have believed it, if they told me a Tsunami would kill a have a million people I would have not believed it.

People who look ahead and make predications arn't always right, but when they are.. we always wish we had listened.

Lets hope this all a big useless fear.

Update; I'm not selling or moving anything right now, but I am listening more and more to this kind of talk and looking at what maybe a place to move too. Some say Gold... but if your not holding the bars yourself... do you really own it?
80meterwheelman
Thursday, August 15, 2013 4:49:06 AM
Gold & silver for sure as long as you have it in your possession. No "paper" precious metals for me, thank you. That's for the marks.
Doing nothing is tiresome because you can't stop to rest.
Benjibear
Thursday, August 15, 2013 10:46:00 AM
I have been obtaining some silver. Silver bars and old coins for the silver value.
It is what you learn, after you know it all, that counts.
paulmbe
  •  paulmbe
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Monday, August 19, 2013 5:19:31 AM
I'm waiting for Larry Carr to book the rose bowl then I will know someone has pulled the proverbial plug!!
"Life's journey is not to arrive safely at the grave, in a well preserved body, but rather to skid in sideways, totally worn out, shouting, "Holy *, what a ride!"
flamo
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Monday, August 19, 2013 7:08:06 AM
There is a problem coming down the pike. Buffet seems to think investing here is not so good. He just bought a huge amount of stock in the Canadian Tar Sands. Why? He also owns huge shre in the rail road that hauls that oil. (Which explains a lot of things) Interest rates are now artificially kept low by the Fed. That is good for our industry short term. It allows shows and indys to buy new rides. When interest rates start going up then what? Will shows or indys be able to afford to buy that new stuff? Inflation will set in and cause these over priced rides to be even more costly. As inflation and higher interest rates set in the source of revenue for the show and indys will will dwindle. The profit margin is small now, how much lower can it get? There is a way out and it may disappear quickly if this admin doesn't read the writing on the wall.
I'm there, Old, Tired, Broke and Henpecked
FriedPhil
Monday, August 19, 2013 11:53:35 AM
I own a stock investment company that buys stock on the New York Stock Exchange.

The stock market runs on two things: greed - and fear.

Some of the postings above represent the "fear" part.

I must say I don't know any serious investor that is worried about dumping their stocks. I think we're going to be in a ten year long bull market, and if you don't participate, you won't have another chance like this for a long, long time.

As for Warren Buffet, I don't believe he's dumping stock either. He'd be nowhere today if he dumped stock every time the market corrected. I figured we were due about a ten percent correction this year, so far it's been less.

I made more money on stocks this year than in the past four years. Times are getting better.
Please do not exit the ride until it comes to a complete stop.
johnroach100
Tuesday, August 20, 2013 1:05:06 AM
I don't doubt that things are getting better in some areas, but they are getting worse in others. I used to know what to expect from a spot but not anymore. There have been so many best ever and worst ever grosses in the past few years I just wait and see.

In my other life I have coin operated games, pool, juke boxes, cranes, that kind of thing. Pool and music are still good. Other than that, it's over in Georgia. There is a $5 prize limit and people won't play much for less than an Ipad.
flamo
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Tuesday, August 20, 2013 1:39:37 AM
Originally Posted by: FriedPhil 

I own a stock investment company that buys stock on the New York Stock Exchange.

The stock market runs on two things: greed - and fear.

Some of the postings above represent the "fear" part.

I must say I don't know any serious investor that is worried about dumping their stocks. I think we're going to be in a ten year long bull market, and if you don't participate, you won't have another chance like this for a long, long time.

As for Warren Buffet, I don't believe he's dumping stock either. He'd be nowhere today if he dumped stock every time the market corrected. I figured we were due about a ten percent correction this year, so far it's been less.

I made more money on stocks this year than in the past four years. Times are getting better.



From what I can gather from the TV analysts if as long as the fed keeps printing funny money things will stay about the same but when the Fed just hints at cutting back on the printing the market drops like a rock. Maybe you can explain how the fed affects the stock market. I sure can't figure it out.

I'm there, Old, Tired, Broke and Henpecked
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