Lower….Lower….Lower….Oh Yeah!
When I watch the market plummet it’s all I can do not to call my husband and talk dirty to him.
Ok, not really. I’m not a dirty-talk kinda girl. But if anything has me in a tizzy these days it’s not the thought of really hot vampires in a Twilight movie, oh no, it is the market.
I don’t go into clothing stores and feela rush. I don’t feel good swiping my debit card no matter how fun or necessary the items I’m buying are. I don’t like spending money at all.
But the market has me completely understanding what Becky Bloomberg feels in Confessions of a Shopaholic (an excellent read, by the way, I’m looking forward to the movie as well) when she cannot stop herself from buying.
But for me the thrill isn’t in Prada or Dolce or even Coach, oh no, it’s knowing that once this market bottoms out it’s going to rally, and rally big. Ok, there’s a possiblity that it won’t rally, that’s just fact, but every time this has happened in the past (don’t let anyone tell you this hasn’t happened since the Great Depression) it is followed by a bull market. A big bull market.
This means not a whole lot to daytraders or people about to retire. But for people like me, that can afford to keep this money in the market for the next ten years, it means that as long as these companies don’t go completely out of business…I’m going to make a profit.
I am not a numbers girl when it comes to valuing stocks. Yes I’ll look at the numerical factors, but in the case of todays purchase, Ford Motor Company, I looked at what other companies Ford is in bed with (Mazda, Jaguar, etc.) and said to myself….will people keep driving to get where they are going? Will my kids be able to buy a Ford vehicle?
The odds are good they will, especially with the new hybrids they introduced.
As long as Ford stays in business…they’re not going to stay at $2 a share.
Does that make sense?
They’re being beat up by a market that is looking at horrible gas prices, people not being able to get credit to buy new cars, and a host of other things. All those things are temporary and based a lot on the current economic problems. These temporary problems will end. When they do and stocks go back up, I want to have a portfolio done and ready to sit and wait for me to cash out years and years and years from now.
Here are my current investments:
- Fannie May: Purchased $2.01 / Currently $1.01
- Lehman Bros: Purchased $.25 / Currently $.10
- Ford Motor Corp: Purchased $2.65 / Currently $2.22
If I was a short term investor I’d be going batty with the losses. But this is about referring back to this post in five, ten, fifteen years and going, “Wow. I have this, because of that.”
That’s the plan, anyway. *fingers crossed*
Image Source: ercanilbay
Comments
One Response to “Lower….Lower….Lower….Oh Yeah!”
Got something to say?
-
Yep – I’m a Joiner!
You go girl! I love the positive attitude during these negative times! Keep it up!