the Trump show

But this is a blip. Keep watching. The market cannot be timed. Invest for the long term. Trade is getting a lot of publicity. It was bad on Monday. But brokers LOVE big drops which present good buys. Again, you are investing in a company, you are not investing in a ‘market’. Snap up deals now, then Average your costs over a period of time. One day does not a market make. Around May, I bought Amazon at $1400. It dropped a good bit after that. Instead of crying, I bought more, so my Average price was, say, $1375/share. Now, it is worth over $1600 I think. Can’t google right now, got to go work, to make money, to give half to the govt: so the govt can give that money to people I don’t even know, for god-knows-what.

@averagejoe1 said
But this is a blip.

It will be a blip when the shares suddenly recover.
Nobody predicts blips!

Meanwhile ... anyone who took your advice last week has lost 7% of their money.

Not if they are savvy. Otherwise they should steer clear of investing . I didn’t lose any money on my purchase because I Bought, I didn’t Sell. You imply Caterpillar is lost. Caterpillar? This is classic Blip. You do understand that a 4-word phrase of Trump caused the drop? Well, also realize that the genius negotiator is just positioning himself. Step 2 comes next. Buy stock tomorrow! Any stock.

@averagejoe1 said
I have them ready to show you. But before I do, can you or someone kindly tell me why the networks or Schumer or Obama or NYT or anybody of substance never say ONE thing about Trumps accomplishments? You need not ask me what they are: there about 80 clearly defined, so if you have missed it, see them on google and please let me know what you think.
As to your questi ...[text shortened]... now that with the 800 point drop today, tomorrow is one of the best buying opportunities in history.

Everyone of substance thinks Trump is a moron, which might go some way towards explaining why they aren't praising him or his non-existent accomplishments. To Trump's credit, however, his laziness and incompetence have thus far prevented him from being as poor a president as Reagan or Bush Jr.

@averagejoe1 said
Not if they are savvy. . I didn’t lose any money on my purchase because I Bought, I didn’t Sell.

So buying stock and watching it fall 7% is savvy?

You should be educating fund-managers!

Wolfgang, you write as if the sky is falling. To follow you to your logical conclusion, I guess the Dow Jones average will never get to, say, 30,000?? Is this the ultimate moment in the history of the stock exchange....that it ground to a halt this week?
OR , do I bet on it continuing to go up as it has for 100 years, and thus keep buying good companies? Would I be wrong to buy more shares of stock tomorrow? Wrong, or not wrong?
Do you think the market is done, cooked? Or are you just saying thatCaterpillar is about to go out of business?

@wolfgang59 said
So buying stock and watching it fall 7% is savvy?

You should be educating fund-managers!

Well, it depends on what you're expecting. If, like averagejoe, you're not overly concerned about capital growth and are buying them for the dividends then, with a few caveats I'll come to, you are indifferent as to what happens to the stock's price. If you're reinvesting dividends it's good if there's a short term fall in the price.

The catches are firstly that the fall in share price may reflect something real, this puts the dividend at risk. Secondly, the fall in price makes the company vulnerable to takeover and further falls in price could mean that the premium the purchaser is prepared to pay does not make up for the net fall in price relative to the price Joe bought at. The third risk is that the fall in price makes it harder for them to raise cash by bond sales and so forth, compromising future growth, potentially meaning the dividend payments do not keep pace with inflation - this also feeds into the first two risks. The fourth risk is that one can find oneself in need of cash in a hurry and in that case a short term market fluctuation can be a disaster.

So, if what averagejoe is looking for is income then the price falling isn't a disaster. But is he aware of the risks?

@averagejoe1 said
Wolfgang, you write as if the sky is falling. To follow you to your logical conclusion, I guess the Dow Jones average will never get to, say, 30,000?? Is this the ultimate moment in the history of the stock exchange....that it ground to a halt this week?
OR , do I bet on it continuing to go up as it has for 100 years, and thus keep buying good companies? Would I be w ...[text shortened]... k the market is done, cooked? Or are you just saying thatCaterpillar is about to go out of business?

I dont know what the Dow will do tomorrow.
Neither do the experts.
And certainly you have no clue.

Of course over the long term the Dow will go up.

We were debating your advice of buying last week.
Which was not good.

We were debating Trump's effect on the market.
(The Dow is now about the same as it was at start of year.)

The Markets are jittery.
Thanks to Trump.

Personally I would not buy now - it is a big gamble.
That is why shares are cheaper now.

Caterpillar? Never said anything about them going out of business!

Confusing. You agree Dow will go up. You do Not think Caterpillar will suffer. Then, you say don’t buy now. ? Why not buy a great company now when the price is low, being fairly certain the Dow will go up as will caterpillar ? Think I will take an aspirin

Well said, Deep Thought. First, Wolfgang, of Course it is a gamble. But some bets are more sure than others. I bet we will Always need caterpillar all over the world. I bet Home Depot and Costco are sure things. I study, I buy, I diversify. We ain’t learning anything here. But I think it started with Trump being at fault. Hey, when a president sneezes, tweets, or is late to a meeting, the market is affected. His Creating millions of jobs actually helps the market. Investors who run scared while Trump is setting Xi up in Argentina are the reason the market dropped...Not Trump . They best get to buying back in. As to me saying buy last week only to see that drop, Keep Your Eye On The Sparrow as my Granny used to say. It’ll get made up and then some. You may be betting on a recession? I bet not. So, depending on how things turn out, one of us is going to get the other’s market money! And nobody has got mine, as you suggest I lost 7%. No, I haven’t..... I haven’t sold anything at a loss.

I said I don’t know his I Q so I don’t know if he is ‘ A Genius’. He has made some genius moves, though, don’t you think? Negotiating, that is. He will next get Xi to cave. In economics that is genius. I’m afraid it will take a miracle, though, to stop the invasion. I think they will eventually breach the border. He is no miracle worker. Gosh if we only had Obama. Or Bernie, who is polluting the skies in a $300k trip coast to coast on a fuel burning private jet.
Why doesn’t the media ever mention ONE of Trumps accomplishments? My granddaddy was able to get one of those millions of jobs on Monday.

@averagejoe1 said
Confusing. You agree Dow will go up. You do Not think Caterpillar will suffer. Then, you say don’t buy now. ? Why not buy a great company now when the price is low, being fairly certain the Dow will go up as will caterpillar ? Think I will take an aspirin

Of course the Dow will go up.
Lets suppose in 10 years time it is 10% higher.
Would that be good?
Or 20%?
You have to compare the return against other possible investments.

"Caterpillar is a great company" and the price is low? Maybe.
But the Markets think the price is right.
But you are smarter than them .. right?

Think of me cashing in when it roars back. I assume you think I have lost all my money.
Dont think I can bat this around any more, I just hate stopping, you have been a good sport. No one ever answered why CNN et al never mentions as positive about Trump. My only question. Even You have to wonder. Instead I am asked the question, 'just tell us what crime Hillary committed " (the answer is all over google, there are many) Actually, stuff like THAT is what makes me stop jumping in. One guy asked me "what is the definition of Ad Hominem" It is easily looked up on google, why ask me to type that? Why ask me to list all the things Trump has done? Many web sites list them, I just find this format and lack of decorum a little too much.
So, y'all have beat me to death. Uncle. The definition of 'Invasion' has been the same for 1000 years, but this year, y'all think it has a different definition??? How can a debate take place when the parties cannot even stipulate to the definition of a word??? If you look it up, think about me applying that definition to what is happening at the border, a mile from where my widowed sister with 8 children lives. What word would you use? Cheerio to all.

@averagejoe1 said
Think of me cashing in when it roars back. I assume you think I have lost all my money.
Dont think I can bat this around any more, I just hate stopping, you have been a good sport. No one ever answered why CNN et al never mentions as positive about Trump. My only question. Even You have to wonder. Instead I am asked the question, 'just tell us what crime Hi ...[text shortened]... mile from where my widowed sister with 8 children lives. What word would you use? Cheerio to all.

Cash out and send your sister a few bucks.