Not talking about Lost Wages or Atlantic City or the thousands of tiny casinos.?ÿ This refers to what do you do with money you have beyond what is required to cover standard expenses.?ÿ For most wage earners that is money in a can hidden under the bed.?ÿ But, at some point they may accumulate enough to justify exploring ways to turn that cash into more cash with minimal effort.?ÿ That is when you enter the world of gambling.?ÿ Today, most of the lending institutions are offering incredibly low returns on CD's and similar financial opportunities.?ÿ Not worth the effort unless you have a very high number to temporarily store.?ÿ But, those that have that very high number normally get into other, more risky but higher returning, investments.?ÿ Investing then becomes work because you can lose just as easily as you can win.
Here is one example from the world of agriculture.?ÿ If someone had the money to risk and had purchased a quantity of raw soybeans seven days ago, that same bin of soybeans would be worth six percent more today.?ÿ And may be worth even more tomorrow.?ÿ Figure out what the rate of return on that investment represents on an equivalent annual return such as the CD stuck in place for a full year.?ÿ Absolutely insane.?ÿ But, this is gambling.?ÿ The trip back down in value usually happens in an even shorter period of time.?ÿ If someone had purchased that bin of soybeans one year ago today and then sold them today, today's sale price is over 150 percent of what it was on that date.?ÿ That's easy to figure.?ÿ But, someone buying today and holding for a full year will most likely see a negative rate of return.?ÿ There are no guarantees, without being knowledgeable of all the ins and outs of the world economy and how it will influence said pricing.
"But, at some point they may accumulate enough to justify exploring ways to turn that cash into more cash with minimal effort.?ÿ That is when you enter the world of gambling.......Here is one example from the world of agriculture...."
Personal "gambling" is silly, albeit fun.
Investment "gambling", can be very rewarding if you approach it with as much due diligence as you would to a difficult boundary problem.
????
?ÿ
My broker says that when we get back to normal times, decisions will be easier. Personally, I've never lived in normal times, so I don't know what to expect.?ÿ
Paul Krugman, the Nobel economist who writes for the New York Times, thinks that it is divine that the government can borrow at negative real interest rates. Elon Musk has billions in Bitcoin on Tesla's balance sheet and General Electric betrayed all the widows and orphans who depended on its dividends by losing its a$$ selling long-term care insurance.
Bring on the normal times. I'm ready for some rest.?ÿ
The stock market is a casino, but in the long run the house pays you, as opposed to Las Vegas where the house wins.
Put my $$ in 1-acre of tomato??s. ?ÿSold first few bushels for $22/ and next day was $4. End of week was $2 and not worth taking to market. ?ÿLearned lots about markets ?ÿ
@bill93 Exactly.?ÿ Jack Bogle dialed this in with index funds.?ÿ If you're content with average long-term market returns, you set it and forget it.?ÿ Even Buffet recommends this as the best course for most people.?ÿ Most?ÿ (non-index) fund managers lag the market PLUS they charge you fees.?ÿ You really get screwed.?ÿ Index funds at Vanguard, etc., have vanishingly low fees.
Exactly.?ÿ Jack Bogle dialed this in with index funds.?ÿ If you're content with average long-term market returns, you set it and forget it.?ÿ Even Buffet recommends this as the best course for most people.?ÿ Most?ÿ (non-index) fund managers lag the market PLUS they charge you fees.?ÿ You really get screwed.?ÿ Index funds at Vanguard, etc., have vanishingly low fees.
This, x100
There are no guarantees, without being knowledgeable of all the ins and outs of the world economy and how it will influence said pricing.
Have no idea what I'm posting here, only what I'm seeing and reading lately.?ÿ It looks like you don't have to venture far into the
dumb money territory to make a profit with:?ÿ
?ÿ
And that's an honest living compared with tptb who can gut the average consumer.?ÿ
Skirt steak at HEB used to be ~$6/lb over a year ago. Now $11/lb
I can assure you the live cattle market did not see any of that increase.
@holy-cow That's why I choose to buy most of our meat from local farm/butchers.?ÿ The quality is better and the price, while still not cheap, is paid to the people who really put in the work.
Andy
@bill93?ÿ
Although the regulations on casinos are far more strict, and the stock market is a really esoteric money grab of the top investors from the smaller fish. Regulations there are always being subverted, go largely unpunished, and I'm casinos we have defined well adhered to odds.
It's a transfer of wealth the wrong direction.
Crypto is changing the playing field, and has started to morph into a stock type model in it's behavior.
?ÿ
Cryptocurrencies are more akin to precious metals than to stocks.
Stocks theoretically are priced based on the prospects for future earnings by the companies, and therefore subject to at least some rational analysis, although there is a lot of noise and fluctuation in the prices.
Cryptos have little rational basis at this point. They are jockeying for their position and at best one or two could emerge as moderately stable media of exchange. Right now it looks like they are popular only because they could end uo popular, and some will undoubtedly go away.
@bill93?ÿ?ÿ Getting my financial advice here
?ÿ
https://twitter.com/avalonpenrose/status/1473753174787772418?s=20
Back to agriculture.?ÿ Things going upward are largely dependent on things over which the farmer/rancher has no control.?ÿ Going downward can occur at home.?ÿ A prime example:?ÿ A local farmer had about 15 bushels of seed beans stored inside his barn.?ÿ Entry to that space was prevented by a standard pipe gate.?ÿ Somehow that gate was opened.?ÿ Several cattle got into the area and tore into the beans.?ÿ Eating more than about two pounds of raw soybeans can kill a cow.?ÿ They ate most of 800 pounds.?ÿ Impossible to know how many ate a huge quantity and how many ate a little.?ÿ At least 10 mature cows are now dead, with five dying on Day 1.?ÿ Ten cows didn't eat 800 pounds of soybeans, so some of the others may have health problems that are not visible.?ÿ No one is going to pay him for his dead cows.
@bill93?ÿ Seems like this is her Shtick.?ÿ Her first video seemed authentic.
https://twitter.com/avalonpenrose/status/1354496683938201600?s=20
@holy-cow?ÿ read up on that some. the monopolies hold the sway over the ranchers and farmers. They set prices and terms.
It's hard work for the ranchers and big profit for the monopolies.?ÿ Think I even read where the contracts held rights to any future calves being born on a ranch.?ÿ Thanks.
That is correct.?ÿ They are willing to offer what look like solid prices for delivery of specific weights of live cattle at specific dates.?ÿ Once they lock in 75 to 80 percent of their total needs, then they go to the markets to fill in the gaps based on actual consumption at the time.?ÿ That is for cattle.?ÿ Hogs and poultry have been so strongly vertically integrated there is no real market for live production to the common restaurant/institution/supermarket customers who represent well over 90 percent of the market.
There are niche markets for all sorts of things, but, you must be a business person first and a producer second to operate profitably in that arena.?ÿ I happen to have two white/tan donkeys running around in one of my pastures that belong to my neighbor.?ÿ He can catch them and take them home but they will come back within a few days.?ÿ Every one of his critters ends up being sold to someone semi-locally who enjoys the novelty of owning donkeys.?ÿ No one is going to eat one.
The solution to the problem must come from the consumer side demanding governmental intervention to eliminate the monopolistic control of the various segments of the common food chain.?ÿ The relative number of producers is tiny compared to that of the consuming public.?ÿ I strongly dislike this idea, but all other attempts have failed.
