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TMFMmbop (42.96)

So, uh, what am I supposed to buy?

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February 04, 2010 – Comments (29)

With the Snowpocalypse bearing down on DC and the market going to pot, what am I supposed to do with my money? It appears there are no good answers. Everything is going down hard.

First, we have Nick Taleb saying that "every single human being" should be short Treasuries. Take that freespending U.S. government. And put the dollar on that scap heap with it.

Short-term bonds? Not a good bet, according to fellow Fool Dan Caplinger. With interest rates already so low, you only stand to get crushed when the reversion to the mean takes place.

Long-term bonds? You'd have to be truly stupid. Again, interest rates are low and because the market continues to be risk averse, bonds are in a bubble.

Stocks? Have you seen the market today? Now is the time to panic.

Gold? That, too, is a bubble.

Real estate? Apparently, the Case-Shiller index is pointing to a double-dip in home prices.

Commercial real estate? That's the next shoe to drop.

China? That's a bubble even Jim Chanos is shorting; you'd be daft to go against him.

Commodities? Another bubble.

Europe is about to implode. Emerging markets are still too small, too corrupt, and too risky. Even the stalwart -- BERKSHIRE HATHAWAY -- just lost its AAA rating.

The end is nigh Fools. Buy a shotgun and some canned tomatoes.

29 Comments – Post Your Own

#1) On February 04, 2010 at 3:46 PM, ChannelDunlap (< 20) wrote:

Toyota.

And MEA if it drops below $4.

Thats my plan anyway.

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#2) On February 04, 2010 at 3:49 PM, goalie37 (91.47) wrote:

"Stocks? Have you seen the market today? Now is the time to panic."

For a net buyer, panic is always a good time to buy.

I don't know if this is a bottom or just the beginning.  What I do know is that when my stocks begin to trade at bargain prices, I buy.

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#3) On February 04, 2010 at 3:50 PM, Maximus88 (< 20) wrote:

Wow. I didn't realize it was that bad everywhere. Personally i'm buying rental properties that cashflow. Then soon i'll be dipping into some safe stocks like Johnson & Johnson or Aflac. For the time being though i'm trying to save the money I already have http://www.betteryourbudget.com/ and then investing it in the sector that shows life first!

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#4) On February 04, 2010 at 3:51 PM, lemoneater (71.39) wrote:

Buy your wife some tanzanite--a gorgeous purple/blue gemstone. She will be amazed with your good taste.

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#5) On February 04, 2010 at 4:01 PM, Turfscape (41.66) wrote:

I'm putting MY money into Frozen Concentrated Orange Juice futures!

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#6) On February 04, 2010 at 4:02 PM, Retiree2035 (24.06) wrote:

Canned tomatos are on sale at Roche Bros. 2/$3.  14oz size.  Seems like a good time to buy low.......I'm thinking puts are going to be a good buy.

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#7) On February 04, 2010 at 4:17 PM, catoismymotor (< 20) wrote:

With sale prices to be had on all my picks I don't know what to buy next. Normally I would feel like a fox in a chicken coop. But with a head full of other distractions I am honestly befuddled.

Maybe after yet another night of sleeping on the matter I will wake with some clarity? I hope so.

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#8) On February 04, 2010 at 4:37 PM, Varchild2008 (86.15) wrote:

"With the Snowpocalypse bearing down on DC and the market going to pot, what am I supposed to do with my money?"

I do not know but in my portfolio..... 2 stocks stood out in that they avoided completely the market sell-off.

1)  GAME

2)  MTXX

And of course there were other stocks out their that avoided the market sell-off trading unchanged or even higher.... I would gather a list.... Like CSCO for example of stocks that did well today.

Whatever DID WELL today... should MEAN SOMETHING going forward more often than not.  So... You might gather about a couple dozen stocks and then evaluate from that which one seems the safest bet.

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#9) On February 04, 2010 at 4:40 PM, miteycasey (30.49) wrote:

Buy a great stock at a fair price.

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#10) On February 04, 2010 at 4:43 PM, TMFMmbop (42.96) wrote:

Amen.

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#11) On February 04, 2010 at 4:44 PM, russiangambit (29.47) wrote:

Welcome to my world, lol. Almost everything is a liquidity bubble waiting to explode.Personally, I am waiting for commodities to go down and then buy them again.

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#12) On February 04, 2010 at 4:52 PM, floridabuilder2 (99.34) wrote:

Buy a home.  you can get a tax credit, the lowest mortgage rates you will see in your lifetime and mortgage deduction on your tax returns.

If you own a home consider buying a rental condo in south Orlando.  You hire a professional property manager to do everything.  right now condos are selling in some areas for less than cost.  I have seen condos at $40 a square foot which is $48,000 for a 1,200 sq ft brand new rental property that will cash flow.

In the highest distress markets in the country homes are selling out of foreclosure at cost (and we are talking deflationary construction costs).

 

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#13) On February 04, 2010 at 4:59 PM, prose976 (< 20) wrote:

All of these are good purchases at this time:

 

RTI 

CME

FITB

MCO

LYG

GCI

TIE

BCS

MGI

VTIV

CSR

ATPG

AMD

CNO

JBL

RTI

SPWRA

INFN

MIR

NVDA

MWA

INT

SCHW

LVS

DRYS

LUK

AACC

  ASCA

  AIB

CDE

PIR

SOL

PIR

  WFT

ATI

FMCN
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#14) On February 04, 2010 at 8:50 PM, ChrisGraley (29.86) wrote:

Buy a boat and a couple of passports.

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#15) On February 05, 2010 at 12:52 AM, tonylogan1 (28.32) wrote:

Frozen Concentrated Orange Juice futures...

Me too Mortimer! All in!

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#16) On February 05, 2010 at 1:06 AM, TMFUltraLong (99.95) wrote:

#13 reads like a who's who of my short sell list...lol

UltraLong

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#17) On February 05, 2010 at 1:14 AM, bluebare (33.04) wrote:

Nothing right now.

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#18) On February 05, 2010 at 3:24 AM, sirwanksalot (< 20) wrote:

"#13 reads like a who's who of my short sell list...lol  UltraLong"

ROTFL

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#19) On February 05, 2010 at 3:28 AM, sirwanksalot (< 20) wrote:

Sometimes the hardest thing to do is wait, But wait you hopefully will.

Sirwanksalot

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#20) On February 05, 2010 at 8:24 AM, ozzfan1317 (78.68) wrote:

MCF,GMCR If your not big on Volatility, BP And JNJ look attractive right now.

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#21) On February 05, 2010 at 11:05 AM, JakilaTheHun (99.94) wrote:

Defensive equities.  My favorites are ETR and RDK. 

Also, well-capitalized regional/small commercial banks. 

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#22) On February 05, 2010 at 11:14 AM, russiangambit (29.47) wrote:

#16 - exactly, all the junky companies that will go down the most should another downturn hit and many of them already 200-300% up.

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#23) On February 05, 2010 at 11:24 AM, Tacomatight (67.91) wrote:

 Turfscape (< 20) wrote:I'm putting MY money into Frozen Concentrated Orange Juice futures!tonylogan1 (29.09) wrote:Frozen Concentrated Orange Juice futures...Me too Mortimer! All in!

 

Ahh yes Randolph! We're back!

 

 

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#24) On February 05, 2010 at 12:23 PM, RonChapmanJr (33.57) wrote:

Buying a shotgun is, in fact, a good idea.  Then make sure you get lots of ammo for it.  And you are going to need more than just canned tomatoes.

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#25) On February 05, 2010 at 3:19 PM, bcnu6 (30.18) wrote:

Buy real estate in Hawaii.  Even though it has been cold at night with temperatures down into the 60s.

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#26) On February 08, 2010 at 1:16 AM, RhinoOptions (< 20) wrote:

The best bet for the next 45+ days out is in Stock Options... My trading partner posted a nice $4800 one day return Friday on an investment of just $16k.... The options he was in include Apple, MGM, & Potash... The funny thing is, Friday was not even a good day for stocks market wide... His returns could have easily been doubled... Options is the play right now... Unless you have no idea what you are doing.... In that case I would take a few days off... Maybe read a good book...

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#27) On February 10, 2010 at 12:14 PM, kristm (99.73) wrote:

Any company making salt, sand, or shovels..

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#28) On February 10, 2010 at 12:20 PM, lemoneater (71.39) wrote:

#27 Sounds like you might be snowed in :).

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#29) On February 11, 2010 at 10:39 AM, walt373 (99.86) wrote:

#27 might want to take a look at CMP compass minerals - biggest salt miner in north america. pay a nice dividend too. but they ran up a decent amount recently.

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