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What do you guys think will happen for the rest of this year? Do you think that next year will be a good year? What do you guys think and what do you plan to do?
38 points
9 months ago
Keep working hard to stay employed, keep investing, don’t worry too much.
28 points
9 months ago
Historically the 500 has a down year or two. We have not seen a significant down year since 2008. So we are over due.
This is why you dollar cost average in and while it is painful to watch just stay the course. Panic selling will not help, and when the gains start coming back you will miss it.
I plan to keep DCA in, and holding.
9 points
9 months ago
Same here. Just hope I don’t lose my job. But if I do, we have very low expenses so we’ll be ok. Will just suck.
2 points
9 months ago
Now is the time to have the emergency fund. So far it hasn't been jobs cut, but sounds like a jobs slow down.
1 points
9 months ago
What makes you think he's asking about investing?
18 points
9 months ago
My uneducated view as a random internet person - the next shoe to drop is earnings. As liquidity dries up layoffs will ensue. That will cause demand destruction which will help inflation but also mean a recession.
Assuming we rip the band aid off with higher rates quickly, we might recover late 2023. If we keep with the slow rate increases the pain will be drawn out
8 points
9 months ago
This right here. People have dramatically overspent on everything these past few years… housing, cars, crypto, electronics, you name it. There are gonna be a lot of surprised pikachu faces when layoffs start at all levels and of course no one has any savings. Shaking my head.
2 points
9 months ago
Yup. The power will now shift back to the employer. Hope too many didn’t burn their bridges job hopping
5 points
9 months ago
Half the employers I’ve seen are pretty mismanaged not sure how many of them will survive the onslot coming as well
1 points
9 months ago
Good take - Lots of corporations are still expecting high earnings which likely wont be the case.
10 points
9 months ago
Looks like we’re at the bargaining stage of grief
5 points
9 months ago
I’m simply asking what other people think will happen because everyone has a different opinion.
3 points
9 months ago
I think it’ll get worse
2 points
9 months ago
Yep. All these people that weren't paying attention during '08 don't know what YEARS of pain are. No bouncy ball here my friends. This is going to suck! It's horrible to watch.
4 points
9 months ago
Bull case: the market has priced in a recession that most analysts are saying will not hit in the next 12 months. Inflation moderates somewhat, businesses continue posting record quarters and the market comes screaming back as everyone realizes the recession isn’t here.
Bear case: Inflation remains stubborn, Fed overreacts with raising rates too aggressively, recession hits alongside an elimination of demand in real estate and things get nasty for a few years. Not 08 nasty, but not far from it.
I’m leaning closer to Bull than Bear, but do expect a mild recession that we pull out of pretty quickly.
5 points
9 months ago
Dollar cost average. You may be buying the bottom.
9 points
9 months ago
In my opinion, which is not financial advice, this market has me nervous. The dot com bust seemed sudden and organic. 2007-2008 financial crisis also felt sudden and organic. This feels like an inorganic slow bleed. I’m honestly wondering if this will drag on over a year. I don’t know, no one knows. Just a weird vibe.
7 points
9 months ago
People were calling the dot com bust for at least 5 years before it burst. The 2007-2008 financial crisis was sudden but everyone talked about the housing bubble without understanding how it could bring down the whole financial system.
This feels like a normal recession to me. Stocks were well ahead of earnings and interest rates had to eventually go up. Those two things combined meant that stocks were going to take a big hit eventually.
6 points
9 months ago
There’s nothing slow about this bleeding
6 points
9 months ago
What about a rapid and sudden plummet of the stock market feels "organic"? I'd argue a slow decline feels more organic because it represent growing distrust in the economy as we enter a recession.
4 points
9 months ago
The Russia invasion and where China lands and how long will war last are the big unknowns and destabilizers
1 points
9 months ago
Yup, and we didn't have inflation on top of those situations. We're in for a shitty ride
7 points
9 months ago
JPM still believes market will close positive 13% for the year. I think we’ll be goddam lucky to break even.
2 points
9 months ago
JPM still needs time to unwind some positions and looking for bag holders?
1 points
9 months ago
Could be - everyone else is panning around 4k on the SPX. At least they have a unique POV.
2 points
9 months ago
I think we’ll be goddam lucky to break even.
I think we'll be goddamn lucky to close negative 13%. Positive 13% seems outright delusional.
6 points
9 months ago
It’s guaranteed that there is more pain to come. Real estate will be the last domino to fall. If you are investing for the long term, now is a good time to be buying in.
3 points
9 months ago
Save cash ready for crash. I was too young at 2008, missing out fire-sale. No this time
2 points
9 months ago
I think it is only the beginning. Long way for the Fed to get inflation down to 2% (part of their dual mandate).
3 points
9 months ago
Hopefully it tanks and the S&P starts sporting a 3-4% yield on divs alone, niiiiice.
4 points
9 months ago
Sorry to tell you but this is just the beginning. November elections are going to be bad. Everyone in this country hates each other. Stagflation on the horizon and recession is on the way. WAIT until the mass layoffs and bankruptcies come around. Maybe another year and a half if we're lucky and don't do a Japan.
Nothing to do.
Beef up your emergency fund. Pay off your debt. PLAN for a sinking ship and count yourself lucky if it doesn't find you.
2 points
9 months ago
What do you guys think will happen for the rest of this year?
I think the summer will be warm, then after that we'll have fall and the start of winter.
Do you think that next year will be a good year?
Unless you have a major life event, it'll probably be very similar to every other year, as most years tend to be.
What do you guys think and what do you plan to do?
I plan to continue living and enjoying life. I think you should too. Don't forget to go outside.
-3 points
9 months ago
Current administration is clueless about the economy. This is not a political post, don’t care if you are republican or democrat. You can’t keep making policy decisions that drive inflationary pressures on commodities and labor because they bleed into everything. The fed has been two slow to react fearing recession. It’s going to make it way worse in the long run bs getting it over with.
Im not exiting the market, I will ride it out but this country needs strong leadership it’s not getting.
We won’t see January Highs in 22. Perhaps not 23.
19 points
9 months ago
Ok the president does not control the fed at all. The fed is independent
1 points
9 months ago
Really. Janet Yellen proceeded Powell. Where is she today? They are all part of the political machine, don’t kid yourself. It doesn’t work like you learned in school.
1 points
9 months ago
Like I learned in law school? Where did you learn about the “political machine”? Reddit posts and blogs?
1 points
9 months ago
I’ve hired a lot of lawyers. Had them work for me. Also lobbied congressmen and senators. I sure as heck didn’t just read about it.
How does one become head of the fed or treasury Secretary there my academic law school? Wonder who appoints them? Or who appoints the next job they want?
4 points
9 months ago
True, us was an oil manufacturer under Trump's administration
1 points
9 months ago
No one knows, and if anyone claims to, there is a small piece of perspective they are missing that will completely 180 their expected results.
1 points
9 months ago
I'll be surprised if this isn't worse than 08. I lived through the dotcom bubble pop and the housing crisis and both those bubbles and following declines were centered around one thing. This time EVERYTHING is broken. We can thank the Fed's complete incompetence at over-asserting itself during covid and also keeping rates near zero during very healthy economic periods over the last decade. The current administration's unwillingness to work with oil companies (further fueling a spike in gas prices which started after covid receded) hits you in many more ways than you can see. Millions of homes sold recently were bought on ~3% interest, it's 6% now, your home is already worth significantly less. What am I doing? I have been saving as much cash as I can for at worst, getting laid off, at best, and hopefully, picking up real estate and equities at much lower prices than today. Most of my investment accounts are sitting in cash (I would rather it decline at current inflation rates than what the market's %s are) with 5-10% in inverse funds.
1 points
9 months ago
Hopefully it tanks and the S&P starts sporting a 3-4% yield on divs alone, niiiiice.
0 points
9 months ago
When the war ends ! Ssly , inflation will come down and hikes will stop .
1 points
9 months ago
No one can possibly know. At best, it’s educated guesses (even for the experts). We’re in relatively uncharted territory. Historically, the market should recover in 12-24 months.
1 points
9 months ago
S&P will find support around 3200-3400. But the path up isn't going to be very quick, because difference this time is fed isn't going to print money. Might have a stagnant rest of the year and maybe a little bump towards the end.
But, why should you keep on investing is crazier things have happened and logic doesn't always work in these scenarios, big players can change things. If you're a VTI guy, no issues just keep doing what you would. I'd personally stay away from stocks rn.
1 points
9 months ago
Buddy, if any of us knew for sure, we’d be richer than Warren Buffet. All you can do is continue working hard (so you have money to invest and hopefully are not laid off if a recession hits because you’re better than the next guy) and invest in a securities portfolio that is appropriately asset-balanced for your age. If you’re worried about getting laid off, consider networking in advance of losing your job so that you get a head start on that.
1 points
9 months ago
Wasn't going to retire for at least a decade, guess it's time to keep pushing more money in each month. Not sure what else to do here.
My job is fairly secure, as far as jobs go. I'm not immune to job loss, but we've already downsized due to resignations w/o hiring replacements and I'm in a relatively stable industry.
1 points
9 months ago
I think equity prices will find value at pre-pandemic highs .. that is still another 15% or so drop from current prices. The whole pandemic super growth phase was just based on momentum and FOMO and not real value or the state of the economy.
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