Darn. It looks like the collapse is already over. I was hoping to make a killing when the bank stocks were $1/share again.
Oh well, another great opportunity missed.
The DOW has increased so much so quickly that people aren’t used to the big numbers. So they get excited with fairly reasonable % changes. I was just hoping it would last longer.
I dunno. Various companies had already planned to spend billions on stock buy-backs, so they had the money available, or at least budgeted. I wouldn’t be surprised if some of those companies spent that money to prop up their stock prices and let some of their executives and major investors cash out first.
Fortunately I’ve been shifting funds into cryptocurrencies, so I feel pretty secure. I don’t check it every day, so I better make sure. I’ll just take out my smartphone. Click on Coinbase…wait for it to open. Select “prices” and…
True enough, but the net result is the same - evening out volatility. The concept of “averaging” cost over time is often the easier way to explain why CAI is powerful, so the DCA term gets hijacked.
My reaction with my investments? Nada. I’m 20+ years from retiring, and if I didn’t panic during the 2008 crash, I’m not going to now. Let it ride.
My personal reaction: the market dropping because of good job numbers = a bunch of guys making six figures or more begrudging – nay, panicking at – the mere prospect that people making five digits might finally get a raise. :rolleyes:
Pretty much this. I was expecting this to have happened last summer. I’m definitely not in panic mode, just the opposite…at least a third of my investments are geared towards stuff like this, so I’m good.
When I saw that a couple of my stocks that had been holding up fairly well have a significant downturn today, I sold off all my individual stocks except BRKB, which seems to be holding up better than most. I’m still in SPY and some other indexes.
Stocks were ludicrously overpriced; this event cannot come as a srprise to anyone whose memory of such things extents past a few years.
As to what it means? Honestly, it’s hard to say.
It could portend doom for the global economy, or it may not.
In terms of my personal investments, a correction makes effectively no difference. I am not retiring for 15-20 years. Lower stocks just means by next X number of buys will be cheaper. In the long run, this stuff matters very little.
It’s a game of hot potato when the market gets this inflated.
It is hard, and really impossible, to pin down the exact day that things fall out, but the more volatility we see, the more likely that things will come crashing down in the near future.
I am hoping that we manage to just make the necessary correction and not overreact and send everything into a nosedive.
