When Can We Start Breaking Things?

[SoFarSoGood]

My dear fellow I advise you NOT to invest on the stock market.

[gaelic cowboy]

My dear fellow I advise you NOT to invest on the stock market.

clearly you dont understand futures contracts at all.

A contractual agreement, generally made on the trading floor of a futures exchange, to buy or sell a particular commodity or financial instrument at a pre-determined price in the future. Futures contracts detail the quality and quantity of the underlying asset; they are standardized to facilitate trading on a futures exchange. Some futures contracts may call for physical delivery of the asset, while others are settled in cash.

Read more: http://www.investopedia.com/terms/f/...#ixzz24ygISuD5

It all about price and only about price whereas you claimed a benefit it doesn't actually give which was an increase in capacity.

Basically I would be 99% confident that I deal with futures more than you, seeing as between the two of us I am the only person selling cattle.

[Philippus Flavius Homovallumus]

I thought Ireland was too small to support cattle.

[gaelic cowboy]

I thought Ireland was too small to support cattle.

Cattle were basically a form of currency in Ireland for centuries, even up to the middle of the 20th century people used them in dowries.

[SoFarSoGood]

clearly you dont understand futures contracts at all.

I know enough to make some money out of it. You sell cattle is hardly futures market...

[gaelic cowboy]

I know enough to make some money out of it. You sell cattle is hardly futures market...

You were wrong and it really is as simple as that.

[SoFarSoGood]

You were wrong and it really is as simple as that.

Look you strange animal the futures market is a 'market' like anything else (the clue's in the name). Like any other market the prices rise and fall on supply and demand. It is not there to "ensure an agreed price tomorrow" as otherwise I could buy at any price I wished and the sole purpose of the 'market' would be to 'ensure' I got the price I agreed; it would NOT be a market but a price fixing mechanism and losses would be impossible; supply wouldn't matter a jot.

Whatever your strange ideas of 'evil capitalists' a 'market' cannot "ensure an agreed price tomorrow".

[Major Robert Dump]

Look you strange animal the futures market is a 'market' like anything else (the clue's in the name). Like any other market the prices rise and fall on supply and demand. It is not there to "ensure an agreed price tomorrow" as otherwise I could buy at any price I wished and the sole purpose of the 'market' would be to 'ensure' I got the price I agreed; it would NOT be a market but a price fixing mechanism and losses would be impossible; supply wouldn't matter a jot.

Whatever your strange ideas of 'evil capitalists' a 'market' cannot "ensure an agreed price tomorrow".

You can always have an agreed price on hoes

[gaelic cowboy]

You all will cease your laughter in 6 months when Cheap Food and Quality Hoes opens for business

Steak dinners and beef injections a brilliant combination.

You can always have an agreed price on hoes

[gaelic cowboy]

Look you strange animal the futures market is a 'market' like anything else (the clue's in the name). Like any other market the prices rise and fall on supply and demand. It is not there to "ensure an agreed price tomorrow" as otherwise I could buy at any price I wished and the sole purpose of the 'market' would be to 'ensure' I got the price I agreed; it would NOT be a market but a price fixing mechanism and losses would be impossible; supply wouldn't matter a jot.

Whatever your strange ideas of 'evil capitalists' a 'market' cannot "ensure an agreed price tomorrow".

In simple terms that we can all understand basically.

I the farmer take the short position and you the buyer take the long position, you agree to pay me say 4 euro a kilo for my animals in six months time.

If by the time I deliver the price has gone to 6 euro a kilo then you sell on the open market and trouser a profit of 2 euro, however if by the time I deliver it has gone down to 3 euro then you end up paying me 1 euro over the market rate so you will have lost money.

Basically I'm trying to cover my costs for delivery with maybe some profit on top, while your hoping beef goes way way up so you can pocket a significant profit.

The reason why you cannot just make up a figure is because the margin payments will break you if your priced wrong.
It's also the reason why say a grain farmer might only sell say half his tonnage to a futures trader, he's hoping the price will go up but he is hedging his costs too.

Seán Quinn Anglo-Irish Bank investment

Now this was a CFD but it's essentially the same idea for stocks an shares and it shows how you can lose.

[Papewaio]

Look you strange animal the futures market is a 'market' like anything else (the clue's in the name). Like any other market the prices rise and fall on supply and demand. It is not there to "ensure an agreed price tomorrow" as otherwise I could buy at any price I wished and the sole purpose of the 'market' would be to 'ensure' I got the price I agreed; it would NOT be a market but a price fixing mechanism and losses would be impossible; supply wouldn't matter a jot.

Whatever your strange ideas of 'evil capitalists' a 'market' cannot "ensure an agreed price tomorrow".

Now consider that futures started out in agriculture, I'd listen to the farmer.

The very definition of a futures market is to agree to a future price. It is to smooth out supply and demand peaks and plummets causing massive price spikes and valleys. The idea is to make it more predicatable and hence less risky to all. Of course reducing risk does generally reduce profit margins.

But then again the futures market is really more a long term idea.

"A futures exchange or futures market is a central financial exchange where people can trade standardized futures contracts; that is, a contract to buy specific quantities of a commodity or financial instrument at a specified price with delivery set at a specified time in the future" - Wikipedia

[PanzerJaeger]

LOL @ the 'system' conspiracists. Tell the former executives of Bear Stearns or the Madoff victims that the system is rigged in their favor. Wealthy people can be just as poorly positioned and over exposed as your average idiot facing foreclosure who paid too much for a house based on an income stream with little real security. The reality is that there is no system, no grand conspiracy to extract wealth from the working man. As has already been said, more consumers and more disposable income in the economy benefit wealthy people disproportionately.

No one is entitled to a ‘middle class lifestyle’. Hard work does not equal valuable work. The truth is that you are only as valuable as the value you create. (Value = the amount of money other people will exchange for your labor.)

Everyone is exposed to cyclical economic shifts. That’s just the nature of capitalism. However, if you are still unemployed this many years after the crash or have yet to be able to find a job after graduating, some introspection may be in order. Yes, it could be that old white men in monocles and top hats are conspiring to screw you out of your right to clock in 9 – 5 and earn a ‘decent wage’, or it may be that that philosophy degree was a poor choice.

The problem gripping our economies is not speculation on Wall Street. That was just a symptom. The real problem is that machines are continuing their eclipse of human labor apace. It started in the factories many decades ago, but now it has crept into every realm of the economy. What used to take a department of people collecting and organizing numbers to create can now be done in Excel with a couple of macros. Today, real value is derived from creative, analytical brainpower, and the sad truth is that the average working man has never had an original idea in his life.

[SoFarSoGood]

"A futures exchange or futures market is a central financial exchange where people can trade standardized futures contracts; that is, a contract to buy specific quantities of a commodity or financial instrument at a specified price with delivery set at a specified time in the future" - Wikipedia

Ergo if the demand for that future price goes up the price goes up. If I have agreed to pay $X per ton of wheat at Y date and the price goes up... the producer gets more.

[Philippus Flavius Homovallumus]

I know enough to make some money out of it. You sell cattle is hardly futures market...

You don't even know what futures are, then.

Which proves the whole point, really - you are selling and buying things you don't understand.

[Major Robert Dump]

When the going gets tough, the best bet is to go old school, and start selling cheap food and quality hoes. When I move to Guam, that is what I will be doing to get rich, and I will name my bar either "The Org" or "Cheap Food and Quality Hoes." Hope you guys can swing by

[a completely inoffensive name]

When the going gets tough, the best bet is to go old school, and start selling cheap food and quality hoes. When I move to Guam, that is what I will be doing to get rich, and I will name my bar either "The Org" or "Cheap Food and Quality Hoes." Hope you guys can swing by

Won't Guam capsize if you try to put another building on it?

[Major Robert Dump]

Won't Guam capsize if you try to put another building on it?

Yes, which is why my establishment will be on a riverboat