Santa Rally 2022

[divs4ever]

does anyone know if the market is closing early today ??

it often does before the Christmas break but i haven't seen anything official on that ( probably because half the folk who care went on holiday last Friday )

 

[wayneL]

Don't really have a problem with tax payments. Being a POOR farmer there is always a huge debt to carry on each year. All profits can be written off

Don't really have a problem with tax payments. Being a POOR farmer there is always a huge debt to carry on each year. All profits can be written off

Got me thinking, why can't we claim for depreciation on cash?

 

[rcw1]

does anyone know if the market is closing early today ??

it often does before the Christmas break but i haven't seen anything official on that ( probably because half the folk who care went on holiday last Friday )

Good morning divs4ever
Early close today, 2.10pm AEDT

Have a very nice Xmas ?

Kind regards
rcw1

 

[KevinBB]

Got me thinking, why can't we claim for depreciation on cash?

Interesting question. Very interesting.

The ATO define a depreciating asset as "an asset that has a limited effective life and can reasonably be expected to decline in value over the time it is used".

The first question is: Does Cash have a limited effective life? I suppose anyone could argue that, over time, the value of cash hidden under the mattress will deteriorate over time, but certainly not in any one person's life time. These new plastic notes are fairly durable. Even if someone wanted to argue that Cash would be inflated away, a long term inflation rate would need a couple of life times to reduce the value of cash to zero.

The second question is: When do you use cash? The ATO would argue that you use cash when you actually spend it, not when it is hidden under the mattress. So, when it is being used, it doesn't decline in value, it has the value at the time it is spent.

I'm afraid I don't see an argue for allowing cash as a depreciable asset. Damn!

KH

 

[divs4ever]

Got me thinking, why can't we claim for depreciation on cash?

what ??

and ruin the stealth-tax/bracket-creep system ??

are you some kind of dangerous radical thinker ?? (WINK )

 

[farmerge]

Santa?
Allo Santa?
US market missing you
Humm should we fill a missing person report?
Just afraid Queensland police could investigate...
Bad taste humour aside..Santa is gone i am afraid

Me thinks when his sleigh hit the windfarm turbines that was it kar-put

 

[divs4ever]

The first question is: Does Cash have a limited effective life? I suppose anyone could argue that, over time, the value of cash hidden under the mattress will deteriorate over time, but certainly not in any one person's life time. These new plastic notes are fairly durable. Even if someone wanted to argue that Cash would be inflated away, a long term inflation rate would need a couple of life times to reduce the value of cash to zero.

or rendered obsolete in a new cashless (CBDC) economy ( which some nations are already in early stages of embracing )

in 1972 my first official job paid $25 after tax per week , but try living on $25 a week now ( for most Australians )

that is way less than one lifetime ( just over 50 years )

 

[divs4ever]

Me thinks when his sleigh hit the windfarm turbines that was it kar-put

still one US trading day left ( not that is likely to help the ASX next week )

 

[eskys]

Good that everyone is in festive mood, but have to disappoint some...........ASX closes at normal time today and will open for trading next Wednesday to Friday

 

[wayneL]

Interesting question. Very interesting.

The ATO define a depreciating asset as "an asset that has a limited effective life and can reasonably be expected to decline in value over the time it is used".

The first question is: Does Cash have a limited effective life? I suppose anyone could argue that, over time, the value of cash hidden under the mattress will deteriorate over time, but certainly not in any one person's life time. These new plastic notes are fairly durable. Even if someone wanted to argue that Cash would be inflated away, a long term inflation rate would need a couple of life times to reduce the value of cash to zero.

The second question is: When do you use cash? The ATO would argue that you use cash when you actually spend it, not when it is hidden under the mattress. So, when it is being used, it doesn't decline in value, it has the value at the time it is spent.

I'm afraid I don't see an argue for allowing cash as a depreciable asset. Damn!

KH

Hmmm.

Yet we can depreciate buildings which may last indefinitely.... And I can tell you that any cash in my wallet definitely has a very limited lifespan

 

[farmerge]

Interesting question. Very interesting.

The ATO define a depreciating asset as "an asset that has a limited effective life and can reasonably be expected to decline in value over the time it is used".

The first question is: Does Cash have a limited effective life? I suppose anyone could argue that, over time, the value of cash hidden under the mattress will deteriorate over time, but certainly not in any one person's life time. These new plastic notes are fairly durable. Even if someone wanted to argue that Cash would be inflated away, a long term inflation rate would need a couple of life times to reduce the value of cash to zero.

The second question is: When do you use cash? The ATO would argue that you use cash when you actually spend it, not when it is hidden under the mattress. So, when it is being used, it doesn't decline in value, it has the value at the time it is spent.

I'm afraid I don't see an argue for allowing cash as a depreciable asset. Damn!

KH

or rendered obsolete in a new cashless (CBDC) economy ( which some nations are already in early stages of embracing )

in 1972 my first official job paid $25 after tax per week , but try living on $25 a week now ( for most Australians )

that is way less than one lifetime ( just over 50 years )

My first job was as a copy boy on the now defunct Daily News in 1966 for thr princely sum of take home moolah of $ quid a week

 

[divs4ever]

My first job was as a copy boy on the now defunct Daily News in 1966 for thr princely sum of take home moolah of $ quid a week

yes my father's last pay ( he died in 1969 ) was roughly the same as my first week's pay as an apprentice the '60's/70's were an educational period

the decimal currency change-over in particular ( imagine abandoning cash completely after that little scam )

 

[farmerge]

yes my father's last pay ( he died in 1969 ) was roughly the same as my first week's pay as an apprentice the '60's/70's were an educational period

the decimal currency change-over in particular ( imagine abandoning cash completely after that little scam )

Left out a bit was 4 quid a week for about 3 weeks then decimal currency took over

 

[Dona Ferentes]

extracted from @bigdog 's often informative daily N.Y. summary, a definition

The latest losses don’t bode well for investors hoping for another “Santa Claus” rally. That’s Wall Street’s term for when stocks rise in the last five trading days of December and first two of January.

“The proverbial ‘Santa Claus’ rally, which since 1950 has statistically returned approximately 1.3-1.8% nearly 80% of the time, has looked as though Santa has taken an early vacation,” said [an analyst.]

 

[farmerge]

extracted from @bigdog 's often informative daily N.Y. summary, a definition

Snakes and ladders except the ladders are standing only on one leg

 

[JohnDe]

Santa has too many bills to pay. Electricity, gas, interest rate, food, beer, insurance, and rent.

 

[wayneL]

The stats also show that Santa doesn't show up in bear market years.

 

[divs4ever]

The stats also show that Santa doesn't show up in bear market years.

a bear market ??

how dare you ! ( sarcasm ) that is completely opposed to the narrative

 

[KevinBB]

I'm still a believer that Santa will come. He's probably been delayed by the northern hemisphere storms and cold. I'm in desperate need of socks and undies, so hopefully he's just around the corner!

The stats also show that Santa doesn't show up in bear market years.

I agree with you that the US market certainly is in a bear market. The stats (as of Tuesday's close) for the three major US indices verify this:



The NASDAQ (Comp) has dropped close enough to 40% from its high, but has not recovered. Recent press doesn't give a very good outlook to the US tech stocks sector, so it may even extend those declines. The S&P 500 index (SPX) is at a similar state.

However the DJ Industrial index (INDU) seems to be on quite a different path than the tech heavy NASDAQ, and the trying-to-be-tech S&P 500. The DJI has made quite a recovery from its lows, and recently even threatened the January high, and almost made it out of the bear market.

However, the Australian market is a different kettle of fish. Stats as at Wednesday's close.


The four major Australian indices are still in a "Bull Market Correction" stage, and still have about another 10% to drop before they can be considered to be in a bear market.

If Santa makes his "coming-down-the-chimney" decision based on the status of the stock market, surely he has no excuse for not visiting Australia!

Still ever hoping,
KH

 

[divs4ever]

7,008.900 is today's low so far for the XJO ( top 200) so maybe the ASX is just late to the bears' picnic