Stock Market

[raymondpickens]

If my portfolio was a boat just but the looks this of it this morning I would say it is sinking! lol Pretty crazy the last few days. Anybody else thinking a walmart greeter position is in their future if this doesn't turn around some

 

[Brewman61]

Re: Stock Market

Same chatter last time the market tanked, and the time before that, and the time before that.................
You either have the stomach to ride out the troughs, or you get out. Much of these downturns are driven by
panic behavior. If you have short term needs for the money, the stock market might not be the best place to
keep it. Sooner or later it will go back up. One thing is for sure, if you dump out when the market is down, you lock in
losses. This may not be a bad time to get in if you have the funds.

 

[raymondpickens]

Re: Stock Market

Oh I am not getting out by any means, and I see it as stocks are on sale at the moment I am still young, I have plenty of time to sweat it out left.

 

[JB]

Re: Stock Market

Well, I am not young and I do need my capital to supplement my SS. The '08 debacle wiped out my retirement fund, so I sold off most of The Hideout to gain access to my remaining "wealth". Now that is. . . .well, you can see where it is.

My remaining thoughts on the topic would be political, so I shall hold my tongue.

 

[aspeck]

Re: Stock Market

Recieved the following from a broker:

As you?ve undoubtedly noticed, the turmoil surrounding global financial markets has escalated markedly over the past several days resulting in sharp declines across equity indicies. While declines of this magnitude are hardly unprecedented, I realize that they can be unsettling and lead some to second-guess their investment decisions. Friday evening's announcement by Standard & Poor?s that it has downgraded long-term U.S. sovereign debt from AAA to AA+ had added to the gamut of disappointing news, and I felt it would be timely to share some of my thoughts regarding current market conditions and what to expect as we continue to navigate this turbulence together.


Generally speaking, we do not believe that recent events have made cash and bonds more fundamentally attractive than stocks. In fact, the recent equity-market sell-off has made stock valuations even more inviting, further piquing our interest. Thus, we?re in the process of evaluating our diversified portfolios to shift some assets from bonds to stocks.

To quickly summarize our views:

• While there are serious issues facing global markets, including the slow pace of economic growth and sovereign-debt risks, we do not see the recent sell-off as a replay of the 2008 financial crisis.
• The downgrade of U.S. sovereign debt could cause short-term upheaval in markets and reduce the value of ?risk? assets like stocks (if it hasn?t already); we do not, however, believe it dramatically alters the fundamentals of various types of assets, or the way we?d assess their attractiveness.
• Stocks look reasonably priced, at worst. Blue-chips, in particular, look inexpensive.
• We believe the bond market is overbought, especially U.S. Treasuries. We are moving to further underweight bonds in our diversified strategies.
• With yields plumbing the depths, we think it is highly unlikely that inflation-adjusted (i.e., ?real?) bond returns will top stocks over a 5- to 10-year time horizon.

This was not my broker, but I do agree with what is said here, and is what I have been telling others all along. Yep, it hurts to see the value of my portfolio today vs 2 weeks ago, but I believe it will come back, and to get out now would only be a mistake. I have killed my portfolio in the past trying to time the market. Long term, systematic investing is the way to go. Short term investing in this volatile market will drive you nuts! Market up 200 points right now ...

 

[southkogs]

Re: Stock Market

My portfolio (such that it is) has evened out to pre-2009 level, until today probably. I'm being really careful how much I keep putting in, but I'm not abandoning it just yet. I sure wouldn't be cavalier with single stocks right now. Metals and commodities look interesting if you've got time or a good manager to work with you.

Great real estate deals out there right now if you've got the capital to make it happen.

I'm with JB - the rest of my thoughts will probably get me edited.

 

[scipper77]

Re: Stock Market

EDIT

The truth hurts!!

 

[ajgraz]

Re: Stock Market

In the future there will be only two job options available: Walmart Greeter, or selling crap on EBAY. At least with EBAY you can be your own boss!

 

[Fishing Dude too]

Re: Stock Market

Sold all remaining stock yesterday, and bought same stock back at same price sold for so can take loss off taxes. : )

 

[cgd7777777]

Re: Stock Market

Sold all remaining stock yesterday, and bought same stock back at same price sold for so can take loss off taxes. : )

You should be very very proud

 

[aspeck]

Re: Stock Market

Sold all remaining stock yesterday, and bought same stock back at same price sold for so can take loss off taxes. : )

That just means when the stocks go higher again, and the tax rate is higher than it is now, you will have even MORE tax to pay .... Good short term plan, and if you sold something big this year so you have a lot of capital gains, a very good move ... BUT just to get loss carryover for another year, hmmm....

 

[bruceb58]

Re: Stock Market

Sold all remaining stock yesterday, and bought same stock back at same price sold for so can take loss off taxes. : )

So you get 15% deduction for long term capital loss this year. Of course that 15% rate is probably going to change upwards in the not too distant future. I guess I don't understand that logic. Am I missing something here?

 

[bruceb58]

Re: Stock Market

If you are at retirement age, you should be minimizing your exposure in the stock market and should be in fixed income if a drop in equities is going to affect your ability to live comfortably. If not, that is major gambling.

For all people that are a ways from retirement and continually contributing to a 401K, these drops help your dollar cost averaging. As long as you don't need your money now, these dips are just allowing you to buy more shares for the same amount of money and will benefit you in the long run.

 

[robert graham]

Re: Stock Market

Well, I'm almost 68 years old, still working, have some stocks and some cash, and while the market ain't been much fun lately, we still eat every day, just like we always have. I'm just so thankful for my wife's and my good health, and that we live in the USA! Someday I'm gonna quit reading and watching the darn news...it's depressing!...Go outside and grease those lug nuts and quit worrying!

 

[DECK SWABBER 58]

Re: Stock Market

I have some retirement $$$ in mutual funds. I'm not even going to look.
You have to just hope it works out in the long run. But I have a few years to go, I really feel for those who are already retired.

I too would love to say more but we can't do it here.....

 

[Lyle29464]

Re: Stock Market

Sold all remaining stock yesterday, and bought same stock back at same price sold for so can take loss off taxes. : )

That is called a wash sale. Read the fine print in pub. 17 before you order a contender.

 

[raymondpickens]

Re: Stock Market

Lots of tongue biting going on, cant say I disagree. I too feel for the retired and soon to retire or try to anyways. Im sure when I get that age, the govt will be sending a small check and a book of 101 ways to eat alpo and like it. So while my buddies are blowing every dollar and saving just enough to make a down payment on something, I on the other hand am taking it slow and only spending within reason to at least not live in a cave but. I think in 30 years we shall be in much different places in life.

 

[bruceb58]

Re: Stock Market

Stock market is up 65% since the low in March of 2009 even with this recent downturn.

 

[Bigprairie1]

Re: Stock Market

This is a good time to keep a reasonable perspective and take a look at the long term history of investment etc via the 'Andex Chart' (google it.....very cool time relative graph of investments, money, governments, world events....all on one).
Canada did not go through the same level of financial adjustment that the U.S went through (and is continuing to go through) in 2007/2008 due to a banking system that has different (and more) checks and balances with respect to the investment and control of money vs. public responsibility.
However, the U.S has been our largest trade partner and whenever the U.S economy sneezes we immediately feel it as well....and we are feeling the fall out in the TSX (our stock market) of the recent downgrade.
Our economy has been mostly resource based vs. Manufacturing based or dependent (plus's and minus's to that one....as you guys know) and we are fortunate that pretty much everything that comes out the ground in Canada right now is high on most countries shopping list....ie: Oil, Potash, Wheat, Natural Gas, Coal, Fresh Water (1/2 the World's supply)...etc.
I lost 20% of my investments in the 2007/2008 recession....gained it all back....up until a couple of weeks ago...and then I'm sure I'm down 15% again.:facepalm:
Oh, well....just have to keep thinking long term...and pay down debt, pay down debt, pay down debt.
All Good
BP

 

[aspeck]

Re: Stock Market

Market in negative territory again today after a 200 plus point uptick. Then the Fed comes out and says, "We will not raise interest rates for at least 2 years." Now we are up 400 plus points. Market just wants good news.