Re: {OT:} Bush did it - he bankrupted America

You are correct interest rates were higher under Carter but the infaltion
rate was greater and every American lost money.


"dbu" <nospam@xxxxxxxxxx> wrote in message
news:nospam-46581F.08211419012008@xxxxxxxxxxxxxxxxxxxxxxxxxxx
In article <W7nkj.11148$LN4.1827@trnddc07>,
Jeff <kidsdoc2000@xxxxxxxxxxx> wrote:

dbu wrote:
In article <2Bdkj.4557$LN4.4273@trnddc07>,
Jeff <kidsdoc2000@xxxxxxxxxxx> wrote:

dbu wrote:
In article <k6ckj.2847$LN4.455@trnddc07>,
Jeff <kidsdoc2000@xxxxxxxxxxx> wrote:

dbu wrote:
In article <ESakj.648$LN4.281@trnddc07>, Jeff
<kidsdoc2000@xxxxxxxxxxx>
wrote:

Funny how the stock market tanked right after Bush had his news
conference about the tax cuts.

Jeff
The market "tanked" because it is nervous about it being nervous.
I know why it tanked. I just find the timing curious.
I think the market is not confident, but there really is no reason
not
to be, for the long term that is.

Do not be concerned. If you have lived long enough you will know
the
market has it's ups and downs. It is deja vu all over again.
Actually, it has little to do with how long one has lived. It has to
do
with the ability to analyze data and not make decisions based on
emotions. So far, the only decision that I have made is to add to my
positions.

Hint:

Invest for the long term, diversify, move your investments into
safer
places when approaching retirement and most of all don't be greedy.
I disagree with moving investments into safer places when
approaching
retirement. The safest place for the long term (and when I get to be
65,
the long term is the next 30 years or so) is in the stock market. I
am
not saying there isn't a place for increased exposure to bonds, but,
for
me, that increased exposure will not be as much as it will be for
others. Bond markets are riskier, because they have limited upside.

Not rocket science.
But does require education.

jeff
I have quite a bit in money market, I have thought many times in the
past 4 or 5 years about moving it into more risky domain, I hesitate
then after some time I am pleased with myself for holding. I may be
just a bit too cautious at times. That's the difference between rich
and not so rich.... I have other investments too, they have done
well,
but today I'm afraid to look again after several weeks. I'm surely
not
going to jump off a cliff over it, LOL.
You're taking more risk than you realize. The risk that you're running
in inflation risk. When adding in inflation, you're not really getting
ahead. The major indeces (Dow Jones, S&P 500 and NASDAQ) are all up
at
least 50% compared to 5 years ago. That includes the recent losses.

In fact, considering the recent losses, I think of stocks as being
available at a discount.

Over the long term, I am unlikely to lose.

Of course, I am using the logical part of my brain, not the emotional
part.

<http://finance.yahoo.com/q/bc?t=5y&s=%5EIXIC&l=on&z=m&q=l&c=&c=%5EGSPC&c=%
5EI
XIC&c=%5EDJI>

Jeff

I'm aware of the inflation risk, yes. I don't have that long of a term
to look ahead to, so I favor more liquidity. I do have more risky
investments, but they are more in the minority and quite conservative,
not aggressive at all. For instance, Vanguard Wellington as an
example,
if I see a 10 percent gain I am very happy. Money markets have been at
around 4 percent, which is not bad for an investment which I can write
a
check with... and above inflation. Everybody's milage varies.

Everybody's mileage does vary, but often because they are not well
informed. However, it seems you have done your homework.

Often, you can actually do better by putting your money into CDs. You
can stagger the CDs so that they come due at different times, and just
take out new ones, put the money into other investments or even buy
savings bonds (I bonds get about 3 3/4% right now - not that great, but
guaranteed to do better than inflation over the long haul, all least).

Jeff

I've thought of CD's, but they are only getting a percent or slightly
more than MM and not as flexable, so I've so far passed them up. If
they were at almost 15 percent like in the Carter era then I'd surely
jump. I do have savings bonds also, they are around 20 years old and
bringing around 6 percent maybe a little more.
--


"We're going to take things away from you on behalf of the common good."

Hillary Clinton


.

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