your broker does not want u to get out cause he doesnt make any money if u do
technical annalists say 1800 but who knows

Media is the only DOW watcher.

The following is my opinion only. Consult your professional investment advisor before taking any actions.

I assume virtually nobody in the villages has all of their money in stocks. A moderate allocation would be 60/40 stocks/bonds.

Before this disruption, most people should have had 3-6 months of expenses in cash. Money they may need in the next 1-3 years can be invested conservatively (maybe 20% stocks). Money they won’t need until 4-7 years can be moderately invested (40% stocks?). Money not needed for 8+ years can be invested aggressively 80-100% stocks). That’s before the disruption. If you had all of your money in stocks, this post is not for you.

-if you don’t need income from your investment accounts you should be able to wait indefinitely for a recovery.

THIS PART IS VERY IMPORTANT:

-If you are drawing income each month or year, consider drawing only from the bonds in your account. That will give the stock portion time to recover while your cash flow is maintained. With even just 40% in bonds you could have 8 or more years before you have to touch the stocks.

If you are taking Required Minimum Distributions from your IRA that you don’t need, simply reinvest the net withdrawal after tax in a non-IRA account, allocated the same way your IRA is allocated. When the recovery comes your non-IRA money will recover, too.

Before you act on any of this, consult your professional investment advisor. Your mileage may vary.

Subscribe to Netflix and wait it out. This too will pass.

We will end up owing the DJIA money. Best assumption is investors are starting to move their money toward MAYBE medical or MAYBE MILITARY have to wait a while to c which one comes out of this on top

When you find yourself living underneath a 2 million dollar bridge you know the DOW bottomed out.

Try TRILLION dollar.

Wall Street big Ponzi scheme ran by billionaires. They control the market. At first hint of crisis they sell off which drive the markets way down, after all the peons have panic and lost most of they investments, the insiders Billionaire with Hugh cash buy in when its low enough for them to make Hugh profit. Now that the real players have brought back in it drives the market up. Now they wait for the next fabricated crisis. The smart little guy figures this out and sells off while market high before the insiders sell off And cause crash. You’re stock broker only cares about his fees that they suck off you’re Investment could care less if you make any money but keep you suckered in for his fee’s.

It can;t go below zero unless you trade on margin.

With all the negative news of getting ready for a couple of real bad weeks coming, you would of thought the DOW would be in a futures nose dive this morning but it is up over $700 so just maybe !! I normally would less likely to think this way but the market will be the first one to know.

The stock market has already "factored in" the bad weeks coming. That is the way it works, and why it is so difficult to time the market.

Trying to time the market bottom is a fool's errand. From the famous words of one of the most esteemed investors in history, Warren Buffett, to be a successful investor, “simply attempt to be fearful when others are greedy and to be greedy only when others are fearful (Mar 6, 2020).” Stocks are on sale right now, and there is nothing wrong with investing during a crisis. It will end at some point, and stocks will rise in price. It may be today, it might be next year, but stocks will rise again.

Absolutely, and with the prospect of some restrictions being lifted shortly, now may be the time to buy.
What to buy I haven't a clue.
Personally, went into cash bonds when retired to avoid this rollercoaster stuff.
However if I was still in the game, I would punt very soon.
Fiirst bit of goverment 'good news' and it will be 'Wacky Races' time.
JMO.:ho:

I only know about my own stocks. One, Lane Bryant, dissolved years ago, and my stock certificate is just a piece of nostalgia now, with no value at all.

I traded in my Israel bonds a decade after they matured, so I got a net profit from that.

Water Company was bought out by another company, which bought out all shareholders for pennies over the most it had ever traded for. So while I would've liked to remain invested another decade, I got to enjoy quarterly dividend checks for many many years, and I got the initial investment of $500 plus another $10,000 back.

Intel has been through a roller coaster since I got my first 10 shares. Doubled and split, then doubled again and tanked, then went up and down again, recession, dot-com bubble and bust, tech innovations, the current administration's back and forth against Huwei, and now the COVID-19 situation. After all is said and done, my stock is hovering near $60/share. That's pretty much where it's been for the past couple of years. It's also around $20/share more than it had been, except for an enormous spike around 2000/2001.

April 14

Dow 23949 +2.39%
NASDAQ 8515 +3.95%
S&P 2846 +3.06%

As of yesterday, the DOW closed at 24,242.49.

After watching it run up on Thursday, but not stay, I decided to put everything into a fixed fund that guarantees only 3.5%.

Ironically, since I did it online after closing on Thursday it didn't take effect until after Friday's close so I actually saw an increase...over what I thought I had "locked in."

I'm very happy with what I've made since 2009 after a very steady and substantial rise after the Great Recession, but am afraid that when the realization that the massive stimulus currently being sent out will still result in thousands of businesses going under...it's going to be really ugly in a few months.

While I hope I'm wrong, I wouldn't be surprised to see the DJIA down in the 14,000-15,000 range by June.

And if I'm wrong and miss out...so be it.

The only thing I know for a fact regarding my investments is that I'm not going to worry about them...for a while. :shrug:

Consider being very careful about holding bond funds. The ten year treasury bond is selling close to .6%. Not 6% but point-6 %. There's not a lot of room to drop from here. If rates go up the value of bond funds will drop. A rate increase from .6 to 1.2 could cause a 50% drop in the value of bond funds, depending on the bond maturities. Rates have never been lower in our lifetimes (well, mine anyway).

You said you're in cash bonds. Cash is an asset class and bonds are an asset class, but cash bonds is not an asset class, so decide how much of this post actually applies to you. Be careful. Also, feel free to ignore anything I say.

Good luck. Wash your hands!
😄

We will never know where the real bottom of the market is unless the Fed stops artificially supporting it by pumping unprecidented amounts of liquidity into it. A real market is supported by underlying economic fundamentals, not the Fed. There seems to be a very large disconnect between Main St. and Wall St.

Totally agree, bonds are a suckers play at these rate levels, especially with the eventual inflation that has to occur (declining value of the US $) because of how much the Fed is increasing the money supply. And that is only talking about US Treasury bonds, Corporate bonds will have it much worse with increased default rates.

Personally, I couldn't care less. I got out of that money-making (or losing) roller coaster a long time ago and have never been so relaxed about my finances. I don't have to get rich, but I do have to live without constant worries about money. Retirement should be just that and not be about getting richer. Try to enjoy it.

Clearly there are a number of people contributing to this thread that know a hell of a lot more than I do about economics but you have identified the root case of what I think is going to eventually have a devastating impact on this economy and stock market when bill comes due. I have been concerned about the reckless election year stimulus spending for this virus and wondered why with this level of added debt, unemployment skyrocketing at never before seen rate, and people dying from the virus that the stock market is recovering at record rate. The answer is the same reason bank CD's have been paying 1% for years and will continue to do so unless economy crashes altogether. Since 2008 Fed has been enabling and seemingly encouraging congress's complete disregard for national debt. This is not about market fundamentals.Thank you for letting me add my two cents.

Should have mentioned, I am in UK.
Wife and I have been in cash bonds from when we retired 24 years ago.
Didn't want to spend our retirement sweating on something we had no control over.
Most are small (now, very small) interest rate, plus inflation, and whilst not making us any wealthier, they have kept us and our savings safe from market fluctuations.
So we can budget and spend pretty much knowing what our bottom line is.

Stay well.
Don't cough in the supermarket!

That was my retirement plan many years ago. Transfer all my stock funds into bank CDs and live off the interest of about 4--5 percent. But, then the Federal Reserve started to artificially lower interest rates, and my stock funds skyrocketed in value. So, I would have had to pay an enormous capital gains tax and buy bank CDs that were paying less than 1 percent. I liked it better when banks actually wanted you to buy a CD. I even got a set of Corningware once from a bank when I bought a CD. Now, the banks get free money and they don't care if you buy their CDs or not.

Hmmm
 

Symbol Price Change % Chg
^DJI 24,633.86 532.31 2.21%
^IXIC 8,914.71 306.98 3.57%
^GSPC 2,939.51 76.12 2.66%

I guess the Fed will not have to add buying stocks to its mandate now.

Hmmmm
 

The Dow is now at 27,930.

The NASDAQ and S&P have set new records.

NASDAQ 11,311
S&P 3,397

CDs and fixed investments nearing zero.

Now let's all try to guess the next dip.


:blahblahblah:

According my barber it will be the first Thursday after the first Friday of a month to be determined

It's pretty baffling as to what (other than greed and those who think they're smart enough to bail just in time) on what is driving the markets right now. It's a completely different situation than 2008, but eerily similar to 1987. I hope I'm wrong though.

National debt and Federal Reserve balance sheet also reached records today, I wonder if that has anything to do with stock market?

I had a college professor/CPA mentor and friend who passed just a few years ago. Boy howdy could I use his advice now. Bottom line as I see it is to remain diversified and stay the course similar to what we needed to do during the last stock market crash.

This is not my "cup of tea" but when they went to zero on rates, they basically said that you can only make money on money in the market. .

High interest everything disappeared...left the markets as the only place your money had a chance, especially S&P because of the technology stocks.

Just a thought.

Tech stocks have helped the NASDAQ which is 40% technology stocks. The S&P is 20% technology.

The national debt reaching a record has absolutely nothing to do with the stock market. The debt reaches a record every day. That is because the Government spends more money than they take in every minute of every day. Here is a link where you can watch your tax dollars going down the drain in real time all day long, 24/7.

U.S. National Debt Clock : Real Time

The market has been inflated and fake for the past couple of years because so much of the money from corporate tax breaks was spent on stock buybacks.

CEOs love stock buybacks because their compensation is tied to share price. But did the regular workers get raises? Were more good jobs created?

Now the market continues to climb. Why? Well, my guess is that buybacks are continuing. But also with the interest rate on CDs at almost zero, investors are turning to — or staying in — the market.

But it is naive to believe this climbing market can be in any way touted as a strong economy.

Exactly.

I will listen to your barber if he/she gives nice cuts.

When it comes to the current markets and stocks, I'm with this guy.

Market Crash 2020: Warren Buffett Is Ready to Pump In $146.6 Billion


"The market cap-to-GDP ratio, also known as the Warren Buffett indicator, suggests that the equity markets are significantly overvalued. This ratio stands at an astonishing 179%, which means the U.S. markets are trading at a premium of at least 79% and need to correct significantly.

There is too much uncertainty surrounding global economies and the market recovery makes little sense. It is based more on investor optimism rather than fundamentals, and you can see why Warren Buffett is taking a cautious approach to investing right now."

Wish I had more hair to spend more time having it cut so as to listen to him pontificate on world affairs

I believe national debt has everything to do with Market. If the country was forced to balance it's budget in 2021 and Fed stopped printing money and buying debt I believe the market would tank, no crash. Our entire economy is now dependent on deficit spending, to say that is not propping up market is not logical. Our generation will never see bank CDs pay 4% again. IMHO

My comment was about the national debt reaching a "record". The debt reaches a record high every day, and the economy has been dependent on deficit spending almost every fiscal year for the last 100 years. Yes, deficit spending does prop up the market, but that is nothing new. I would love to see the country balance the budget, but the budget is controlled by Congress, who are elected by the voters. And, most voters have no interest in a balanced budget. The chance for a balanced budget in 2021 is about zero.