Shit! There goes the stock market, thank you Joe Manchin

[Walleye]

[USALiberal]

1. Calm down, it will rebound! Nt

[Walleye]

2. I know. I'm just having a bad mental health morning

Thanks for the reassurance though. I don’t think people were meant to live isolated like this

[USALiberal]

3. I agree, sick of bad news.

[Silent3]

15. For the first time in my life I opened up a brokerage account last April

Friends convinced me that I shouldn't leave so much of my savings languishing in a bank account earning only half a percent interest. (I have a couple of 401ks too, so that's been invested in the market for decades now, but this was personal savings outside of retirement funds.)

I'm not investing in anything fancy, just some well-rated index funds. Well, it's been a hell of a roller coaster ride. I've been way down, and way up. At the peak, I'd gained nearly 10% in value in just about 6-7 months.

But the last two weeks have been brutal. Seeing how today has started, there's a good chance I'll be in negative territory by the end of today. My confidence in a rebound isn't high. As things are going right now, by this coming April arrives, there's a good chance that the half percent interest from my bank would have been a better deal.

[Fiendish Thingy]

21. If your brokerage account performs worse than 0.5%, then you have not diversified enough

While my portfolio has also gyrated during the pandemic, it has overall performed well, generally meeting or exceeding the S&P 500 performance.

Two key elements to remember:
Balance - hold a mixture of asset classes (stocks and bonds)
Diversification (don’t hold too much in any one fund)

[KPN]

17. Well, I'm retired and live in part on my retirement savings. Generally, you are right about

about rebounding, but the question is when and from how far down. It took 5 or 6 years for the 99-2000 drop to recover -- and that was a huge drop. That's a long time to someone in their 70s and retired. So, yeah, remain calm, but definitely have a stop loss target just in case. I'm already getting close to mine.

[XanaDUer2]

4. Yep

I know he's a Democrat, but I'm starting to hate him.

[Totally Tunsie]

5. Context, please.

[Walleye]

7. He and Sinema, I assume, are obstructing any economic recovery efforts right now. It looks to me

I’m just looking for somebody to blame my bad mood on

[XanaDUer2]

8. Manchin puts me in a bad mood nt

[Walleye]

10. Does he hate poor children?

[XanaDUer2]

12. I don't know what to make of him

I think he only gives a shit about his donors, frankly. If kids gotta go hungry, oh well. Another thread says something called the COC is taking out ads praising him for blocking socialist policies, so many in WV must support him. I don't know why people are so stupid

[doc03]

6. Meh 500 points is just a minor blip in today's market. Anyway I haven't been watching WTF did

Manchin do today? Well not do I guess.

[Walleye]

9. Not do is correct.

[Mad_Machine76]

24. Senate Democrats are losing confidence in him

agreeing to ANYTHING (re: BBB). IOW everything just seems bleak in terms of getting BBB or voting rights legislation (or much else) to pass this year.

[Doodley]

11. It's more Omicron than anything. I've lost 30k off my retirement fund.

It will come back.

[Dave says]

23. Mostly Omicron, but also the situation in the Ukraine

Putin's troops still surround the country, he'll invade. If that happens, Biden committed to supplying Ukraine fighters with weapons, technology, and other things they'll need to mount an ongoing guerilla war. Putin in turn promises to disrupt the economies of the west using his technologies. The net net is there is high risk of global disruptions impacting the economies of the world.

Based on my concerns about this, I was researching safe investments to move in to, but the fall has happened/is happening and I refuse to buy high only to sell low (not really the case as I've been investing for decades - compared to current prices, I've done/we've all done remarkably well). However, there is lots of risk out there.

[bucolic_frolic]

13. This is mostly Russell, tech, and interest rate sensitive stocks

due to incoming inflation data this week. Saw a video this weekend to watch SPY 4500. This sort of a taper tantrum.

[Walleye]

14. I know I'm just feeling extra crappy toward people this morning. There will be some bargain hunting

[KPN]

19. Yeah, it's rotational. But it's hard to keep up with the rotations as they occur -- or at least as

they occurred in 2021. Small investors are usually behind the curve and often miss the rotation benefits if they try to keep up with them (chasing). It's also hard to rotate if your money is primarily in mutual funds as opposed to a portfolio of stocks. By hard I mean it's easier for me to have a stop-loss strategy on my fund allocations and just go to cash or money-markets when they get there.

Was the video suggesting 4500 is the bottom or a watch out below?

[bucolic_frolic]

22. It's an area to look for support

but you know support/resistance aways has an element of probability. It was mentioned in weekend videos by TheoTrade, GameofTrades, and Van Metre, though the latter is geared toward his sector analyses. I don't watch YouTube kooks, only people who know technical analysis. And they all have caveats on what they see. And hype gets eyeballs!

[PoindexterOglethorpe]

16. It's down a terrifying 1%.

The percentage loss is the important number, not the point decline.

People here will totally freak out over a genuinely trivial drop in the Dow.

Heck, there was a non-trivial drop in March of 2020, and before the end of the year had bounced back and has been climbing ever since.

Over the long haul, the Dow averages a 10% gain a year. That is simply averaging out all the gains and losses over time, but it's an important number. Also, the Dow show gains two out of every three years, again on average.

[Walleye]

18. Thanks for the reassurance. It's just exacerbating my crummy mood

[Septua]

20. 500 points, 2%...

..isn't an alarming drop. Too much subjectivity driving the stock market, IMO. People act on what might happen.

https://www.cnn.com/2022/01/10/investing/dow-stock-market-today-value-growth-faangs/index.html

[Jose Garcia]

25. The market is up today. Does Manchin get the credit?

[manicdem]

26. Manchin's not the problem

The stock market had a bull run for the past 10 years, the greatest in history. It is so grossly inflated and overvalued that a downturn is inevitable and way overdue. The thing that will kick it off is rising interest rates which will slowly bring the market back to normal.