To add to that. Technically they only have 2 million but really they are owned by an entity with billions. Should they get money from us?
I took my IRA completely out of the stock market. So did my wife. My understanding from my Meryl Lynch financial advisor is that a lot of people out there are doing the same. Smart people are divesting. There will be a time to re-enter but I think it will depend on when a vaccine will become available. Insiders in the Trump administration will make Billions.
Saw that the Dow is now over 27.4K--within 2000 points of its peak from 4 months ago before the COVID crash. Even with the precipitous drop, my 401K is showing a nearly 9% overall ROR over the past 12 months. Honestly surprised it's recovered so quickly.
It looks to me like the stock market is reacting to businesses reopening and some people going back to work. When that plateaus and things then level out and unemployment hovers around or above 10% still the market will go through some adjustments. trump likes to use the stock market as the gauge of the economy, but it only paints a very small picture of the economy as like what has been said 90% of the market is held by the top 10%
...yeah, for the most part, the people who are still unemployed and the people who are demonstrating, don't give 2 shits about the stock market. Actual growth will still be stymied for quite awhile.
We may be surprised, the great thing about our country over the years has been the ability to innovate, market, and rebound. As a free capitalist country (and yes we need social assistance programs) we have people that like to start business, create jobs and invest in their futures, cars, homes, investments, vacations, raising families, shopping (been to Home Depot lately?) all types of consumerisms. How many Smart Phones have you seen at these protest, along with expensive sneakers. I think through time we will be fine and hopefully reforms of all types will improve things for everyone.
I started buying around 19,000 and have not stopped. Got Delta airlines at 24 United at 25 It’s time to start buying casino stocks. After that will be energy again. Hold all the tech stocks folks. They will let you retire.
I think unemployment will remain high for quite awhile longer...there are countless small business that simply will not reopen.....most all of the auto makers have a big surplus of inventory...the restaurant business will be in the loilet for quite awhile too because well, how can they make a decent profit when they are limited to 50% capacity. And all of these businesses will have a "trickle down effect" on many other businesses. Hope I'm wrong but I think we'll be in a recession for the forseeable future, at least until they get the covid thing under control.
Heck, Hertz filed bankruptcy here a couple weeks ago. When a large corporation likes that files bancruptcy that's concerning. Hopefully they won;t have to file Chapter 7, but yeah, we are a long ways away from an economic recovery. I did a lot of business with Freightliner over the years and the joke was when Freightliner sneezes many small businesses catch cold.
It will take a while but there will be new business's poping up as demand increases. Interest rates will remain very low for a while so there will be restructuring going on too with new investment's into capital. Capitalism has a way of flashing the field for short and long term growth. Hopefully low interest rates will keep inflation down some.
https://www.marketwatch.com/story/h...o-erase-all-post-bankruptcy-losses-2020-06-08 The travel and leisure industry is coming back slowing but surely.
