dow tops 27,000 for first time ...

Politics and religion: two polarizing topics that deserve their own little place
RichardZ
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Re: dow tops 27,000 for first time ...

Post by RichardZ » July 13th, 2019, 10:24 am

Since Trump was elected the value of the stock market has gone up 10 trillion dollars.

Pity the fool who had a full cash position.

Having said that nothing lasts forever. Depends on two things, mainly, the Fed and trade with China and who knows what else might bite us
in the ass.

I think the Fed will cut rates at the next meeting. As for China. It will drag out to a few months prior to the next
presidential election. In the meantime the government is raking in tariff money.

During the last six months or so i have been gravitating towards dividend paying stocks. Ford, Verizon, Walmart, Pepsi, Mc Donads, ATT, Mastercard.

All pay between 3% and 6% yearly dividends and some have also gone up nicely. Ford and Walmart being two of them.

I am too old to take any giant risks, but i dont want to sit there in cash either or none dividend paying assets like silver or gold.
"If you don't know where you are going any road will get you there."
Lewis Carroll

ChemicalKat
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Post by ChemicalKat » July 13th, 2019, 11:01 am

RichardZ wrote:
July 13th, 2019, 10:24 am
Since Trump was elected the value of the stock market has gone up 10 trillion dollars.

Pity the fool who had a full cash position.

Having said that nothing lasts forever. Depends on two things, mainly, the Fed and trade with China and who knows what else might bite us
in the ass.

I think the Fed will cut rates at the next meeting. As for China. It will drag out to a few months prior to the next
presidential election. In the meantime the government is raking in tariff money.

During the last six months or so i have been gravitating towards dividend paying stocks. Ford, Verizon, Walmart, Pepsi, Mc Donads, ATT, Mastercard.

All pay between 3% and 6% yearly dividends and some have also gone up nicely. Ford and Walmart being two of them.

I am too old to take any giant risks, but i dont want to sit there in cash either or none dividend paying assets like silver or gold.
I have had to talk conservatives out of cash positions during the Obama years and liberals during the trump years. It’s irrational and you’re sacrificing your future.

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Post by tmcats » July 13th, 2019, 12:56 pm

you're ignorant, chemicalcat. you have the perspective of a thirty-year-old. a millennial mindset. and i believe you have next to nothing invested in the markets given how you spout nonsense. for those living on retirement income, trying to keep up with ever-increasing tax loads and volatile markets, there is a time to go cash. we did it when bush was nominated. it saved us a ton of money. i've also done it when there was no reward. for youngsters, staying in is good advice. but not all are that way. furthermore, there is no better judge than oneself about how to manage my money. ultimately, i am responsible.
"There ain't anybody stoppin' our ass!" CK

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Post by ToledoCat#2 » July 13th, 2019, 3:36 pm

Cash was King during Peanut Farmer's presidency. I had CDs earning 13% interest. I was paying off a business loan for a mainframe computer at 19.5%.

And, you young'uns think you've seen tough times!!!

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Post by WIldWIllieCat » July 13th, 2019, 3:42 pm

I'm glad the stock market is doing well. I'll leave all the market advice to the "internet investor genius millionaires" around here....seem to be quite a few :lol:
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ChemicalKat
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Post by ChemicalKat » July 13th, 2019, 3:56 pm

ToledoCat#2 wrote:
July 13th, 2019, 3:36 pm
Cash was King during Peanut Farmer's presidency. I had CDs earning 13% interest. I was paying off a business loan for a mainframe computer at 19.5%.

And, you young'uns think you've seen tough times!!!
Well those were different times.

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Post by ChemicalKat » July 13th, 2019, 4:20 pm

tmcats wrote:
July 13th, 2019, 12:56 pm
you're ignorant, chemicalcat. you have the perspective of a thirty-year-old. a millennial mindset. and i believe you have next to nothing invested in the markets given how you spout nonsense. for those living on retirement income, trying to keep up with ever-increasing tax loads and volatile markets, there is a time to go cash. we did it when bush was nominated. it saved us a ton of money. i've also done it when there was no reward. for youngsters, staying in is good advice. but not all are that way. furthermore, there is no better judge than oneself about how to manage my money. ultimately, i am responsible.
Just to demonstrate how out of touch with reality and how wrong tmcats is, if you were an investor who is truly worried about president Bush II and had $10k at the beginning of 2001, here is the results of your options at the end of 2008:

all S&P stock: -24% real cumulative return, you would end up with $7,585
going to cash: -17.8% real cumulative return, you would end up with an inflation adjusted value of $8,220.65
buy 10 year treasuries to get past the Bush administration: 43% real cumulative return, you would end up with a value of $16,165.26

by the way, if you would have held onto that all S&P stock to today, you would have gotten 119% cumulative return more than doubling your money.

Tmcats is giving really really really bad advice here.

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Post by ChemicalKat » July 13th, 2019, 4:32 pm

This by the way leaves out all the other investments you can make: real estate, corporate bonds, real assets like gold/silver. If you diversified the portfolio like any rational individual and have a long term mindset, it doesn’t matter who the president is.

In fact, the market responds EXACTLY the same way in democratic super majority, Republican super majority, and split ruler ship in the executive/legislative branch. You are KILLING your future and the future of your children who inherit your assets if you “go to cash” because so-and-so is president.

Bernie might be the exception.

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Post by tmcats » July 14th, 2019, 11:13 am

$10k at the beginning of 2001, here is the results of your options at the end of 2008:

all S&P stock: -24% real cumulative return, you would end up with $7,585


you write that and then claim going cash is wrong. good lord. :|
"There ain't anybody stoppin' our ass!" CK

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Post by ChemicalKat » July 14th, 2019, 11:34 am

tmcats wrote:
July 14th, 2019, 11:13 am
$10k at the beginning of 2001, here is the results of your options at the end of 2008:

all S&P stock: -24% real cumulative return, you would end up with $7,585


you write that and then claim going cash is wrong. good lord. :|
You completely missed the point and didn’t bother reading the rest of the post. I’ve never seen someone so wrong before. And you’re an economist?

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