Quote:
Originally Posted by RobH4413
US STOCKS-Recession worries, Apple weigh on futures | Markets | U.S. | Reuters
"On Tuesday, recession worries pushed U.S. stocks lower, but the decline was shallower than feared as an emergency interest-rate cut by the Federal Reserve helped stabilize global markets after a two-day rout."
In the first few minutes that the market is open today the DOW is already down 252 (I had to adjust almost 50 points since I started this thread). I've got two questions
1) Where is the bottom?
2) Which Presidential canidate has the best economic growth plan?
I've heard that the Fed Reserve needs to cut the rates more...
Thoughts?
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Don't lost your mind and panic. A recession is an excellent buying opportunity.
Benjamin Graham always said that a strong bull market should be a much greater cause for concern than a bear market or a recession. A recession just means prices go lower which is a great time to buy. While everyone else is panicking, buy, buy, buy and ride the thing out (assuming you don't need particularly liquid assets over the next 3-5 years.)
Call me crazy, but personally I'm excited. No house, no mortgage (I rent), so I'm waiting for the interest rates and home values to take a big dip, at which point I can buy. Meanwhile I'll look for undervalued stocks as the market takes a dive.
Six months living expenses in cash is also a smart thing to have on hand.