Coronavirus Infects Stock Market: Part XXXVIII This is getting old. Walking our dog around Newport yesterday, my daughter said how weird it feels seeing all the shops and restaurants empty. We walk the same route regularly and have for years. We never stop at the shops and restaurants, but it feels good imagining what’s going on inside. I didn’t want to go down this road with you this morning, but will we ever get back to business as usual? You and I know a lot of these restaurants can’t make the numbers work, and staffing is an issue at least until the end of July when unemployment … [Read more...]
Coronavirus Infects Stock Market
Future Look at Covid-20, or the Next Deadly Virus
Coronavirus Infects Stock Market: Part XXXVI What will the response be for Covid-20 or some other deadly virus down the road? Imagine what it will be like when there are opposing views within families, never mind on the county, state, and country levels. Let’s begin with investing. Guess which area has done well. Companies that offer stuff people need, such as consumer staples—specifically dividend payers with a history of increasing them. Compare a tech app on your iPhone you can delete with a swipe of your finger. How about relationships? When your spouse has a check-list before … [Read more...]
Cure is Worse than Disease as Government Loses It’s Way Back Home
Coronavirus Infects Stock Market: Part XXXV You feel it in your gut: The cure is worse than the disease. The numbers don’t support a stay-at-home, out-of-work policy for an entire country, never mind most of the world. Turns out Sweden was right from the beginning as was President Trump, who explained that America is not meant to be closed for business. Business, not the government, is our country’s lifeblood. Don’t tell that to the blue states though, as they demand bailout checks for pensions—math that even a first-grader knows doesn’t work. Remember the Golden Rule muni bondholders: He … [Read more...]
The Unintended Consequences of Governors Gone Wild
Coronavirus Infects Stock Market: Part XXXIII As some states inch their way back to a soft-open, there will be plenty of losers, many of whom have done nothing wrong and who are healthy. Think about Rhode Island Gov. Gina Raimondo’s comments yesterday telling businesses they’ll have to allow employees 60 and older to work from home, or offer more paid sick leave. At the outset, most businesses will comply, but what if this type of thinking becomes law? Why would businesses pay more to hire older workers or keep them on staff? Do these governors ever think about small business owners and … [Read more...]
After the Coronavirus: Successful Investing and Good Health
Coronavirus Infects Stock Market: Part XXXI Let’s get this out of the way: There is no magic bullet to successful investing or to good health. Both are a culmination of decisions leaving you with a body (of work) to show for it. Is there any doubt those most susceptible to COVID-19 have a weakened immune system? Is there any doubt those most susceptible to investing mistakes take risks? What’s scary is, both groups oftentimes don’t even realize their precarious state. They don’t see the risks staring back at them in the mirror. They believe, for example that passive index funds … [Read more...]
Your Retirement Life: Investing After Coronavirus
Coronavirus Infects Stock Market: Part XXX Some thoughts as you second guess your retirement (or your spouse does for you). The late Richard Russell, in remembering the Great Depression: The most valuable asset you have is a J-O-B. (You know RR from Rich Man, Poor Man, an all-time favorite of mine.) Russell knew the pain when his father was jobless; losing confidence and self-worth; remembering a job does a lot more than just provide money. Our loudmouth governors will not be able to keep Americans indoors forever: Don’t Tread on Me. Make it your job to get out of debt. The … [Read more...]
Investing After the Coronavirus
Coronavirus Infects Stock Market: Part XXIX Imagine falling 200 feet while descending Mount Washington, slamming into a pile of rocks that prevents you from going over the edge—and needing a rescue. That’s the scary scenario one hiker found herself in recently. “It was these rocks that ultimately saved her from plunging into the ravine, a fall that would have likely proved fatal,” said Fish and Game Lt. Mark Ober Jr. in a statement. “Her companion was able to descend to her position, place a call for help and keep her warm with a space blanket until rescuers arrived.” The hikers were … [Read more...]
“Remember, Never Touch Downed Wires & Report them Immediately”
Coronavirus Infects Stock Market: Part XXVIII You know life changes quickly in times like these. One minute you’re enjoying the quarant-time (my daughter’s word) and the next it’s 2:30 in the morning and you’re thinking about patio furniture—I was at least. We’re expecting hurricane-force winds today (perhaps not technically the 75mph hurricane-force threshold, but 72mph is close enough). Before bed, National Grid (the regional power company here) texted warnings, “Remember, never touch downed wires & report them immediately to 1.800.465.1212.” Sleep tight! Is the patio furniture … [Read more...]
Coronavirus is a Wake Up Call for the Irresponsible, Here’s How to Regain Control
Coronavirus Infects Stock Market: Part XXVII You’ve told some heroic stories about your loved ones on the front lines and your children who are doctors and nurses working 19-20 hours days. Some of you who work in hospitals now are telling me it’s a war zone, especially those of you in New York. Thank you. As the number of Americans losing the battle is peaking, I think all of us are thankful for the good that we have in our lives. As I wrote to you yesterday, it is shocking how this virus has ruined the finances of those that should have been better prepared. How a large group of … [Read more...]
What My RAGE Gauge™ is Telling You
Coronavirus Infects Stock Market: Part XXVI Before you dig into my latest RAGE Gauge™, let’s spend a few minutes defining the coronavirus pandemic: It has been way harder for some than it needed to be. I’m not talking about the poor. I’m not talking about those who are living paycheck to paycheck, either. Unfortunately, for a large swath of Americans, a $1,000 shock to monthly income is devastating. That may never change. The group I’m talking about is, perhaps, the fifth of you who have savings: the wealthy, the upper-middle class, the middle-class, the doctors and lawyers and … [Read more...]