The remark that Warren Buffett made the other day I thought was true.  Why is the market in this mood – Mr. Market is kind of a drunken psycho!  My opinion why the market is in such a turmoil is because this administration has not set any solid foundation for our country in the last six years.  These people have no idea what they are doing.  Just take a journey through this administration for six years – have you as a citizen felt confident with the direction the country is headed?  I don’t!  Our leader preaches every day how wonderfully things are going while the citizens see their resources snatched away.  I keep asking others, “Is he talking about the same America we are living in?”  I guess our leader is referring to that imaginary person out there.

Warren Buffett’s statement was:  ‘Mr. Market is kind of a drunken psycho.”

Investment icon Warren Buffett, CEO of Berkshire Hathaway, offered a colorful imagery to emphasize the importance of buying low and selling high in an interview last month with Quicken Loans executives.

“This imaginary person out there — Mr. Market — he’s kind of a drunken psycho,” Buffett said, according to Benzinga news service.
“Some days he gets very enthused, some days he gets very depressed.   And when he gets really enthused, you sell to him; and, if he gets depressed, you buy from him. There’s no moral taint attached to that.”

And how should we small fry approach investing?

“Pay no attention to headlines in the paper or people on television or anything, but put aside a little money each month,” Buffett said.  (In other words, put under your mattress.)

“I’d put it in a very low-cost index fund. And if you do that regularly throughout your working career, you’re bound to have a substantial amount of capital.”

Buffett advises a diversified stock portfolio and blocking out the chatter.

“Emotions are contagious, and emotions have no business in investing.”

Meanwhile, Wall Street Journal columnist Jonathan Clements says there are two rules to keep in mind when investing. “Never trade based on a market forecast and design your portfolio so that short-term results don’t matter,” he wrote.

“The implication: if you think you might panic and sell during a market decline, you should sell now, while prices are still at lofty levels. Few investment mistakes are more damaging than dumping stocks at the depth of a bear market.”

Any money you need for spending in the next five years shouldn’t be invested in anything riskier than short-term bonds and certificates of deposit, Clements noted.

Hopefully, this new Congress and Senate will put a padlock on the check book.  We also need an audit of the country’s  gold as I stated earlier.  Contact  your representative and put pressure on these people who do not want that audit!

kommonsentsjane