Stock Market… this isn’t good IMO

[Shadowrider]

I'm hedging all of this nonsense with dividend paying ETF's and a few stocks and "DRIPing" it all right back into them. I went almost 100% oil, gas, and pipelines about a year ago. I still have a little bit of Apple and some aerospace but mostly O&G. You can get a 6% return without any difficulty at all.

Currently in the green still and as long as I'm still working I'll continue on my current road until we get some sanity back in D.C. or the recession hits in earnest, which it's definitely coming before the 2024 election. Bank on that...

 

[ttown]

They say if you don’t hold it you don’t own it.


https://www.kitco.com/news/2022-06-...0-Celsius-Network-halts-trading-activity.html

 

[SlugSlinger]

I’m feeling bad for those who built a house using lumber that was $1,400 per thousand.

It’s finally coming back down to reality.

 

[SlugSlinger]

They say if you don’t hold it you don’t own it.


https://www.kitco.com/news/2022-06-...0-Celsius-Network-halts-trading-activity.html

Down from $68K to $23K currently. Roughly 66% decline.

And funny how the math works. It will need to go up 195% to get back to the highs.

 

[harley128]

Bonds have an inverse relationship with interest rates. Meaning when the rates increase, the bond prices decrease. If someone bought a bond today and rates increase, the price of the bond will drop, they would lose money of the sold the bond. And the rate the bond is paying would be locked in at the lower rate. It’s a lose lose proposition to buy bonds if interest rates are going to rise. And the Fed has told us they are raising rates, with 11 more expected over the next couple of years.

But.............if you hold until maturity-, the fluctuating bond price is irrevelant...... Just take your 3-6 %......... As long as the bond doesn't default.

 

[filbert]

In 2008 my yearly return on my TSP was -9.54. Currently for this year my TSP is -17.59. Now someone tell me how the economy is doing well and inflation isn't "that bad". I can't afford to feed my kids and pay for gas to drive to and from work.

It sucks but put it all in the G fund on your TSP. And ride the storm out.

 

[ttown]

Down from $68K to $23K currently. Roughly 66% decline.

And funny how the math works. It will need to go up 195% to get back to the highs

But that’s almost 200% profit, I’d be rich and Wall Street could claim Look you lost 66% but had you stayed in you would have made a fortune

 

[Cowbaby]

Can you help us understand why you would exit commodities? Those seem to be the one thing that might still make money and profit. For NOW. Wheat, corn, oil, nat gas all seem to be reaching for the stars at the moment.
And bonds. I’m sure people are rushing into bonds. They certainly aren’t fun or exciting, but I guess better to grab 2%, than down 17%.

Sorry, let me rephrase. I was in all commodity Stocks not futures. Commodities are where its at for a while but quite a few as you know have had some pretty incredible runs already. It is just in a bad bear market like this where people are prone to sell and ask questions later even the most defensive issues can get your face ripped off.
I'm not seeing a bottom in this thing with Biden's stupidity and them raising rates to try to get ahead of inflation like say Volker would do. Only one tiny problem, with a 30 trillion bar tab run up your about out of room to do much. It would have to show me at least a 3-4 week uptrend to even think about trying to pick a bottom in something like this which is terribly hard to do at any time., No worries I live to play another day.

 

[SlugSlinger]

But.............if you hold until maturity-, the fluctuating bond price is irrevelant...... Just take your 3-6 %......... As long as the bond doesn't default.

Yep, that’s what the folks that sell bonds will tell you.
If you’re happy earning 3% to 6% when rates go to 10% or inflation to 15%, then so be it and you’re stuck only losing 9% to 12% a year, in real terms, and no way out of the bonds without losing more.

 

[kingfish]

I had an annuity revalued at the end of March, just before the market tanked. It went up a slight bit from the year before, but at least It didn't drop. I have another that will be revalued at the end of this year. I'm not holding high hopes for that one. I doubt things will have recovered by next March either.