Today was a Really Bad Day
Today was a Really Bad Day
I am asked all the time "How can one tell if a day is a Really Bad Day?"
Did anybody have any problems realizing that today was a Really Bad Day? Do you now know how to tell if a day is a Really Bad Day or not?
Did anybody have any problems realizing that today was a Really Bad Day? Do you now know how to tell if a day is a Really Bad Day or not?
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Yes, today seemed like a really bad day. I can't recall off the top of my head, but this might have been the biggest open to close drop in the S&P 500 since the flash crash.
GLD and SLV were down too. SLV was down over 7%. It looks like bonds are probably the best diversifier. Total Bond ETF was up 0.6% while long term bond ETF was up 2%.
GLD and SLV were down too. SLV was down over 7%. It looks like bonds are probably the best diversifier. Total Bond ETF was up 0.6% while long term bond ETF was up 2%.
Re: Today was a Really Bad Day
Any day above ground is a really good day. Other days, you're just keeping score. I actually bought some equities today, since sentiment was so negative. I'm a bit of a contrarian, and my re-balance band went off in any event.livesoft wrote:I am asked all the time "How can one tell if a day is a Really Bad Day?"
Did anybody have any problems realizing that today was a Really Bad Day? Do you now know how to tell if a day is a Really Bad Day or not?
- simplesimon
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I believe the flash crash recovered to about -3% on the day.centrifuge41 wrote:Yes, today seemed like a really bad day. I can't recall off the top of my head, but this might have been the biggest open to close drop in the S&P 500 since the flash crash.
GLD and SLV were down too. SLV was down over 7%. It looks like bonds are probably the best diversifier. Total Bond ETF was up 0.6% while long term bond ETF was up 2%.
I think this is the biggest single day drop since October 2008 from what I remember.
Edit: Yahoo Finance says December 2008.
Last edited by simplesimon on Thu Aug 04, 2011 3:37 pm, edited 1 time in total.
- tnhooper45
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Re: Today was a Really Bad Day
Nice post Johnjohn94549 wrote:Any day above ground is a really good day. Other days, you're just keeping score. I actually bought some equities today, since sentiment was so negative. I'm a bit of a contrarian, and my re-balance band went off in any event.livesoft wrote:I am asked all the time "How can one tell if a day is a Really Bad Day?"
Did anybody have any problems realizing that today was a Really Bad Day? Do you now know how to tell if a day is a Really Bad Day or not?
Goood day to rebalance.
Chaz |
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Re: Today was a Really Bad Day
Tomorrow may be a Really Badder Day!... or a Really Better Day!livesoft wrote:Did anybody have any problems realizing that today was a Really Bad Day? Do you now know how to tell if a day is a Really Bad Day or not?
Anyone investing long-term - while working - should continue accumulating one paycheck at a time.
Landy |
Be yourself, everyone else is already taken -- Oscar Wilde
I rebalanced today also.kenyan wrote:I rebalanced today. It actually would've come earlier, but this recent string of market losses came during a time when my bond allocation rose according to my IPS.
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Knock off another couple thousand from the DOW and it might be worth owning stocks again. Today was a nice start - now I'd like to see some followthrough before the dip-buyers emerge from the woodwork again. Drive a wooden stake through their hearts. . .
"Life can only be understood backward; but it must be lived forward." ~ Søren Kierkegaard |
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"You can't connect the dots looking forward; but only by looking backwards." ~ Steve Jobs
Yes, but that is refunded at closing. The real costs are $82 recording fee and whatever junk fees from my old loan such as payoff fax fee etc... which usually add up to about $100. Break even is about 3-4 months or so.Wannaretireearly wrote:mikep, was the only cost incurred the $300 app fee? I'm going to have to wait 30 days I believe to refi again, as my loan just closed...mikep wrote:Yes.. nice side effect of this is lower mortgage rates.. just locked another 15 year 3.625% no cost refinance with NMA.
You can try another lender - firstib, amerisave, and penfed are all BH-popular choices.
However, today's pricing for me was all the same - so for simplicity I went with NMA since they had my old file and it was a ~10 min call to get it going.
Last edited by mikep on Thu Aug 04, 2011 3:56 pm, edited 1 time in total.
Re: Today was a Really Bad Day
If you're still accumulating, its not really a bad day. However, if you are retired (are you retired livesoft?), and you are following the 4% SWR, today's drop is the equivalent to what you might have already spent year to date.livesoft wrote:I am asked all the time "How can one tell if a day is a Really Bad Day?"
Did anybody have any problems realizing that today was a Really Bad Day? Do you now know how to tell if a day is a Really Bad Day or not?
Ignore the market noise. Keep to your rebalancing schedule whether that is semi-annual, annual or trigger bands.
I dont view it as a bad day. If we go into another recession, itll be the buying opportunity of a lifetime. Plus, i probably have .01% as much money in the market as the rest of you. Today is a tremendous first hand experience of this risk involved with equities, with just enough of my money involved to make me take notice.
Last edited by Ben24 on Thu Aug 04, 2011 3:59 pm, edited 1 time in total.
Folks, a few rules I follow:
(a) Don't fret about your retirement account, so long as you are age-appropriate. If you are age-appropriate, by definition, a stock market plunge won't wipe you out. Indeed, it probably won't impact you much at all;
(b) If you have money in "Mr. Market", then observe your re-balance bands, as frightful as that might seem. The best "investment" my wife ever made was her employer match on her 401K on March 9, 2009 (I kid you not; the match hit on the exact day the market hit bottom); and
(c) keep a year's worth of emergency funds in a savings account and (if retired) fifteen years' worth of living expenses (above and beyond social security, pensions, etc.) in a CD ladder.
Then, sleep well and spoil the grandchildren.
(a) Don't fret about your retirement account, so long as you are age-appropriate. If you are age-appropriate, by definition, a stock market plunge won't wipe you out. Indeed, it probably won't impact you much at all;
(b) If you have money in "Mr. Market", then observe your re-balance bands, as frightful as that might seem. The best "investment" my wife ever made was her employer match on her 401K on March 9, 2009 (I kid you not; the match hit on the exact day the market hit bottom); and
(c) keep a year's worth of emergency funds in a savings account and (if retired) fifteen years' worth of living expenses (above and beyond social security, pensions, etc.) in a CD ladder.
Then, sleep well and spoil the grandchildren.
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Thanks mikep...mikep wrote:Yes, but that is refunded at closing. The real costs are $82 recording fee and whatever junk fees from my old loan such as payoff fax fee etc... which usually add up to about $100. Break even is about 3-4 months or so.Wannaretireearly wrote:mikep, was the only cost incurred the $300 app fee? I'm going to have to wait 30 days I believe to refi again, as my loan just closed...mikep wrote:Yes.. nice side effect of this is lower mortgage rates.. just locked another 15 year 3.625% no cost refinance with NMA.
You can try another lender - firstib, amerisave, and penfed are all BH-popular choices.
However, today's pricing for me was all the same - so for simplicity I went with NMA since they had my old file and it was a ~10 min call to get it going.
- SVariance1
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Re: Today was a Really Bad Day
I am not sure why but your post put a smile on my face. I couldn't tell whether this was a serious post or not. Yes today was a bad day. I am sure I will be getting calls about it.livesoft wrote:I am asked all the time "How can one tell if a day is a Really Bad Day?"
Did anybody have any problems realizing that today was a Really Bad Day? Do you now know how to tell if a day is a Really Bad Day or not?
Mike
- paco sabio
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- fredflinstone
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Even though I live off my investments and have for 13 years, I am past the time of panic. I set it so that I have enough in MM and/or short term bond funds, I don't have to sell any stock containing funds for at least 3 years. That is comforting.
Jim
Jim
Unless you try to do something beyond what you have already mastered you will never grow. (Ralph Waldo Emerson)
List of really bad days for the S&P 500. Today was the 27th worst since 1950 in percentage terms
http://www.calculatedriskblog.com/2011/ ... ff-48.html
http://www.calculatedriskblog.com/2011/ ... ff-48.html
Re: Today was a Really Bad Day
Today was a very good day for a margarita!livesoft wrote:I am asked all the time "How can one tell if a day is a Really Bad Day?"
Did anybody have any problems realizing that today was a Really Bad Day? Do you now know how to tell if a day is a Really Bad Day or not?
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wow, 2008 was a really rough year, even though we know that!richard wrote:List of really bad days for the S&P 500. Today was the 27th worst since 1950 in percentage terms
http://www.calculatedriskblog.com/2011/ ... ff-48.html
I see 2008 listed something like 14 times in the top 30!
We would be really unlucky to see a year like that again anytime soon....
My wife was talking with a friend who sells and is very knowledgable about the real estate market - she thinks today is the "nail in the coffin" for the hoped-for recovery in the housing market.
So, might even be an even worse day if your livelihood depends on selling houses.
So, might even be an even worse day if your livelihood depends on selling houses.
" Successful investing involves doing just a few things right, and avoiding serious mistakes." - J. Bogle
Housing prices are still generally above long-term trend, although different areas are in different conditions.fishndoc wrote:My wife was talking with a friend who sells and is very knowledgable about the real estate market - she thinks today is the "nail in the coffin" for the hoped-for recovery in the housing market.
You may care more about the volume of sales than the prices at which house are sold (obviously there's some inter-relation).fishndoc wrote:So, might even be an even worse day if your livelihood depends on selling houses.
Stocks on sale
Would you guys buy tomorrow or wait a few more days?????
Gordon
Gordon
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Really bad day helping me with balancing
I moved a considerable sum into my G Fund (TSP) on Monday. I still had a ways to go to move enough into bonds or bond-like funds to achieve the balance I am looking for, but it looks like the stock market may be doing it for me.
Am actually feeling a great deal of relief that I pushed "send" late Friday afternoon, after trepidation that I might have done exactly the wrong thing. Could have easily gone the other way.
Am actually feeling a great deal of relief that I pushed "send" late Friday afternoon, after trepidation that I might have done exactly the wrong thing. Could have easily gone the other way.
- fredflinstone
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I for one am tired of all the jokes.empb wrote:The moderation team doesn't take to kindly to poking fun at other members. Tread lightly.JasonR wrote:Things will get better--1988 turned out to be a goodyear.wilson08 wrote:Like 1987, doomsday at the time but
eventually just a blimp on the chart.
Wilson