It’s that time of year* again, folks! Stocks crash. After a boom of course…
*”Time of Year”: That’s a joke on my part. I mean: once again it happens. It could be a year, or eleven years. But eventually it happens again.
And So It Came To Pass…
Yes, it’s crash time again. After years of stocks booming, the inevitable happens. They decline.
This Time It Is Different
What is different this time, and every time? The “reason.” The precipitating factor is always different. This allows people to miss the impending signs.
Once you get comfortable with the idea that this is a regular occurrence, it loses a little of its sting.
No Fun
Of course, a big crash in stocks is no fun. We all tremble at the thought of our assets melting away.
There Are Some Big Questions
The major question of the moment is the progression of the Covid-19 virus. How will it affect each and every one of us, and the economy of the world. This is all unanswerable at this point. Only time will tell.
When Will Time Come Today?
From an economic point of view, the associated decline in business has the potential to crush many workers. With so many venues closing, the unavoidable reduction in income will stress many. The ongoing decline in economic activity will be a severe experience.
Buy What When?
Already I read some people are contemplating buying stocks now that they have substantially declined. I admit to this perspective myself. When is the right time? Every day seems like it might be, until the decline that follows.
Pessimism Anyone?
It has been said that the time to buy is when everyone is most pessimistic. I don’t think things are bad enough yet, but that’s just my opinion.
Blood
“Buy When There Is Blood In The Streets” we’ve been told. The blood is already flowing, although likely there will be more.
Give Me A Sign
One of the most famous financial headlines was “The Death of Equities” which appeared in Newsweek in 1979. Some time after that headline appeared, an enormous bull market ensued. The point being made is that when things appear the worst, then there is a likely possibility things will turn up.
Waiting Game
I’m waiting for a good moment to make a move.
Are you waiting? What are you waiting for? Comment here.
The photograph of “Big Fish Supper Club,” Route 2, Bena, Minnesota, 1980, was taken by the photographer John Margolies, a master at photographing American roadside attractions. Image courtesy Library of Congress.
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