The Long Term Investor

LOL.....markets tried to turn lower....but are about back to the "normal" for today. I looked at my account about 15 minutes ago and at that time had a nice small gain with seven of ten stocks in the green. A very good start to the day after the past couple of days.

COURAGE....ENDURE.

 

Bigmalx asked the other day:

"Hello Mr. WXZY, pray all is well. I was wondering if you were still adding more cash in February? I'm still trying to follow your moves. I appreciate your postings and others and this site. I don't post much, but I do read on here often. Thanks and pray all have an AWESOME day."

I was just doing my deposit for February. AND....as part of the process of a new month I update all my anticipated income and budget figures.....in order to look at cash flow for the rest of the year. It now appears that I will.....hopefully....be able to invest about $15,000 this year from my "living" money into one of my brokerage accounts.

It is NOW not likely that I will be able to do that investment till about some time in March to June. Now......If I had the cash flow to do it now.....I would do it immediately. If I have the cash flow to do it before June....I will do it ASAP. If I miss my June goal.....I will still do it some time over the summer.....since my projections of money and cash flow are showing that it will be available some time this year. My GOAL is ALWAYS to get money working in the markets as soon as possible.....so if I can do part of it earlier I will.

As a retired person......I map out and update my budget for the entire year.....each year. Since we have been retired for some time now.....I have very accurate figures for all budget items.....plus.....our monthly bills and living expenses. I try to keep a small $3000 to $5000 cushion in the budget.

 

Very compelling Emmett. That should be a good one for you. Did you write that one?

 

For those with an IRON CONSTITUTION.....here is what I would call the negative view. I am sure the author would call it the REALISTIC view. I do not agree with much of what is in here in terms of the short or long term. BUT.....it does give the other side of things.....and is obviously very well thought out.

After a Timeout, Back to the Meat Grinder!

https://www.gmo.com/americas/research-library/after-a-timeout-back-to-the-meat-grinder_viewpoints/

I am not posting this content.....I will leave it to anyone interested to read it for themselves.

As you read this keep in mind that the JOB of the author is to:

"My job description at GMO for the last decade or so is long-term underrated problems".

SO......that is his bias and where he is coming from with this analysis.

 

Well Bigmalx

Unless I am tempted at the last minute....my plan is to put it ALL into my SP500 Index fund. I have been thinking lately that at my age I will simply put all future additions into the SP500. I will post it the day it happens.....whether it goes into the index or individual stocks.

When I say....... "all future additions"....I DO NOT mean dividends from my ten stocks. I mean new cash that I will squeeze from my annual living budget. I will continue for life to reinvest those dividends in the stock that produces them.

 

Markets are showing real STRENGTH as we head toward the close today.

COME ON.....SHOW ME THE MONEY.

 

I like all of your films Emmett....but....this one might be my favorite. I like the direct, constant, shot on the one character with everything else being voices off screen.

 

Another very nice day in the markets today. The sky is blue, the sun is out and the birds are chirping and fluttering (imagine a classic Walt Disney cartoon feel)

I had a good gain today....with nine of ten stocks up today. My only downer was HD. TESLA was up by $15.84....or....10.97%. I also kicked the SP500 around today on top of the good gain by 0.63%.

My year to date gain is now......+8.63%. I am moving up toward an account level that I have not seen for a while. It feels good. I would think that we are all TEED UP for another potential big day tomorrow to close out the week.

 

Say goodbye to Bed, Bath, & Beyond. It is now just.....Beyond.....as in......gone.

Bed, Bath & Beyond discloses loan defaults, weighs bankruptcy, shares tank

https://finance.yahoo.com/news/bed-...-weighs-bankruptcy-shares-tank-211050771.html

MY COMMENT

Management forgot who their customer is.....or ....make that was.

 

No doubt this will weigh on the markets tomorrow and the chip stocks.

Intel earnings: Chip giant misses Wall Street expectations, Q1 guidance disappoints

https://finance.yahoo.com/news/inte...ations-q1-guidance-disappoints-210626026.html

MY COMMENT

YET another failure of management. This company has had screwed up management for many years now. It has been a long time since I owned this stock back in the 1990's and into early 2000's. They used to be the industry standard.....back before their total management failure of the past 10-15 years. A classic tale of a company squandering a dominant industry position.

 

The market today.

Stock market news live updates: Stocks rally after strong GDP report, more earnings

https://finance.yahoo.com/news/stock-market-news-live-updates-january-26-2023-130035690.html

(BOLD is my opinion OR what I consider important content)

"U.S. stocks rallied Thursday as investors digested the release of gross domestic product data and another round of corporate earnings.

The S&P 500 (^GSPC) increased by 1.1%, while the Dow Jones Industrial Average (^DJI) added by 0.6%. The technology-heavy Nasdaq Composite (^IXIC) rose by roughly 1.8%, led by a more than 10% jump from Tesla (TSLA).

The yield on the benchmark 10-year U.S. Treasury note ticked up to 3.497% from 3.461% on Wednesday. The dollar index rose nearly 0.2% to $101.82.

U.S. GDP grew 2.9% annual rate in the final quarter of 2022, above expectations, according to the Bureau of Economic Analysis. Personal consumption expenditures (PCE), compromised two-thirds of domestic activity, added 2.1%, a slowdown from the prior quarter of 2.3%.

Meanwhile, initial jobless claims fell again to 187,000, the lowest level since April 2022. Together, the data represented more signs of resilience for the U.S. economy amid worries over a potential recession.

Sales of new homes rose 2.3% last month to a seasonally adjusted annual rate of 616,000, according to a report Thursday from the Census Bureau, while mortgage rates slipped to 6.13%, per Freddie Mac.

Market moves Thursday came after stocks climbed back from session lows Wednesday, ending the session nearly flat as 12 of the 24 industry groups hit positive territory for the day.

Shares of Bed Bath and Beyond (BBBY) sank on Thursday after the company said in an SEC filing that it doesn't have enough cash to pay down its debts and has defaulted on its credit line with JP Morgan.

Tesla (TSLA) also took center stage on the corporate front as shares increased more than 10% after the company reported strong earnings. Its results showed the electric vehicle maker had better-than-expected profits in the latest quarter, earning $3.7 billion in net income on $24.3 billion in revenue. Tesla announced it would deliver about 1.8 million vehicles this year, which would represent a 37% jump in production."......

MY COMMENT

The rest of this is the same as I posted this morning. A killer day today for investors. Long term investors are seeing a nice recovery in their portfolio value this January. Lets hope we can keep this going in February and beyond.

YES.......I believe that the bottom was last June and that we are now in a new bull market. Of course at this time it is a STEALTH....bull market.

SP500 is NOW positive for......5 days....1 month.....3 months....YTD. It is ALSO right on the edge of being positive for the past six months........(-0.29%). The EXTREMELY bad opening months of last year that are skewing the results longer than six months are slowly receding into the past.

BUT......we are still in the woods......and there is still going to be stretches of bad along with the good. After all that is the norm in any market year.....especially this one.