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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region Forums'It's like it's April 1930 and the Depression is just underway'
Spent much of the weekend watching videos on stocks and the economy. There are some serious financial historians here and there. Ray Dalio, who runs some big hedge fund group, say the Depression is underway. A minor analyst had chart after chart of 1930, and compared the current market rise to the period Nov 1929 to April 1930 - very similar patterns and magnitude - followed by a collapse.
3 years of Depression said Dalio. Financial innovation will keep us afloat and ingenuity will help people survive and create new paths for their lives and livelihoods.
The market could go up or down from here, thought most thought down, and gold and crypto are headed up was the consensus.
I just don't know what to think, or do. Plod forward one day at a time.
Sherman A1
(38,958 posts)If they scrimp on the UI then we will see things deteriorate rather quickly. Right now I am paying off my last debt by year end. Then it will just be monthly expenses and we will see how things shake out.
CanonRay
(14,113 posts)to anyone who will listen
leighbythesea2
(1,200 posts)If you have any links please post! Im not surprised to hear this. Trying to plan. Its plans a b c d ......
bucolic_frolic
(43,287 posts)Dalio is a big conservative Wall Street guy, but he's a well respected financial historian.
I couldn't find the video i watched about charts from the 1930s to today. it might have been SAJAD, or TheoTrade vid for the weekend.
leighbythesea2
(1,200 posts)For these!
I just checked a gold website i use. The commentary often has some historical context too.
leighbythesea2
(1,200 posts)Its hard to diversify enough. I would need to study up. !
bucolic_frolic
(43,287 posts)other than the US dollar. Foreign stocks and the like.
And FAANG stocks plus Tesla now make up more than 30% of the Nasdaq. So mutual funds and ETFs in any US or even global index has a significant part of just 7 stocks. Analyst at TheoTrade is even saying diversity is dead because you can hardly escape them.
leighbythesea2
(1,200 posts)Currency. Was told by a good friend to do it. And yeah, the rest makes sense. Im not holding faang currently either. I used to have a wider portfolio. Then 2008 scared me. I got out of some. I also had been given stock options at work, but i work in fashion apparel, so you can imagine how those did.
roamer65
(36,747 posts)leighbythesea2
(1,200 posts)In that case.
Planned some there a very long time ago
roamer65
(36,747 posts)Generic Brad
(14,275 posts)I moved my entire 401k into the lowest risk option available to me a few weeks ago. And then I have been building up my savings and have moved it to brokerage account I recently established. Now I sit and wait.
The moment the market drops four consecutive days or loses more than 10% (I'm expecting an unprecedented 20-30% drop) I will reallocate my 401k to stocks and invest my brokerage dollars into specific index funds I have been watching. I am not out to get rich, but I am not out to be poor either.
Last year I invested in some annuities and high yield CD's that will pull in around 3% over the next few years. I know that sounds anemic now to those heavily involved in the stock market, but at least I am positioned on those investments to continue earning money if other investors are wiped out.
I took a similar approach in July 2008 and didn't lose any principal when the bottom fell out. My only regret back then was that I did not have any money available to put into stocks when things looked dire.
leighbythesea2
(1,200 posts)Risk mitigation is all i want these days.