12 Year Low? OK - It Doesn’t Hurt Anymore
Do you remember that schoolyard bully from grade school: he would keep punching your arm really hard over and over again in the same spot, then keep asking “does it hurt now? Does it hurt now?” Well, it stopped hurting. ATP, I really don’t care how low the stock market goes. Besides, the recession will end by the end of this year, and the economy will grow in 2010, so if we assume that the stock market is a 6 month predictor, the DJIA will start to go up rather dramatically by fall (OK, you can stop laughing now and get up off of the floor; I did not say this, Mr. HedFed did).
I remember when DJIA dropped below 9000: I did an end-zone dance, and bought everything in sight with cash, and converted bonds to stocks. Then, it dropped to 8000, and now 7000. I got high beta stocks, and even some bank stocks just ‘cause I had confidence. Well, Mr. portfolio is now down about average about 40%, and some equities are down 80-90%.
I am quietly sitting on the couch, patiently waiting for DJIA = 15K, no matter how long it takes, and how low she goes in the mean time. I also have a pleasant smile on face. How, you ask? You probably did not notice the half-empty bottle of cheap Scotch on the floor next to my feet.
Maybe I can get some stories for my grandchildren a couple of decades hence out of this.