I am so loving this stock market selloff. It's a gift from the stock market Santa. Right now stocks are on sale and this is a great buying opportunity. The market will be a lot higher in a year. The budget deal just passed is very good for the economy and I still say that the rate hikes (more to come) will equate to an additional fiscal stimulus.
The easiest thing anyone can do to make money as a stock market investor is to buy when the market goes down. It doesn't even really much matter what stocks, just buy when the market goes down.
The stock market is a growth function, it rises oer time. That's because earnings grow, the economy grows and people strive to improve their lot and that all means growth.
I'm buying.
"That's because earnings grow, the economy grows and people strive to improve their lot and that all means growth."
ReplyDeleteActually it's much less complex than that. The number of people grows, and the demand for retirement savings grow. As companies earn they buy back stock these days reducing the asset supply.
So you have a state backed greater fool system that pretty much guarantees more and more people saving more and more money, who have no choice but to buy the tokens you already hold.
Valuations long since departed from the underlying cash flow of businesses.
Agreed Mike...Perfect timing, and equity fund investors are automatically reinvesting Q4 dividends in even more shares at around a 5% discount from their highs.
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