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Only LO we have another down day on wall -- -- -- any SEC both track.
For their worst month in a year no wonder we got scandals we've got the Fed to -- China all weighing on stocks to market insiders then willows and -- Murray on -- this is going to be a long.
Hot it's hot summer for the market mr.
Willis we -- There will be a long hot summer of volatility will be -- the key word throughout the summer.
And we're just gonna continue to be moved by the central markets in the central government bankers throughout the world where have China and he can't leave out the EU and of course our own Fed's -- tapering the market with their jawboning is what's moving the market.
From our perspective Jonathan what -- you think.
Yeah I don't disagree with -- and I think that certainly we are going to see enhanced volatility.
But that doesn't mean that there are some pretty good opportunities for investors out there -- I think that.
Ironically we have to remind ourselves that the risk of buying stocks today has lessened now that the markets are off about five or 6%.
I've been so we have a scenario where it's you know.
The federal service thanks stop the market the Federal Reserve we want to get off but does that -- that investors should say.
You know what we -- to get out for this right to right now or should they buy that downdraft and sit tight and some other good stocks.
The investors that there the normal tendency the human tendencies -- wanna get off the roller coaster and say stop.
And the fact of the matter is if you're in the bonds in the bond market right now you -- that safe haven of the US treasury market in particular.
You wanna get off the roller coaster without a doubt that's that that to me interest rate risk is the biggest scare in your portfolio.
On the on the equity side in the broad market I think the broad markets will continue to trade lower as we got it through the volatility you'll get up I lower bandwidth how much -- do you think -- -- yet another 5%.
To the downside that China is a new what I would not have said that they bet your bottom for the -- this summer man for the summer probably -- -- the -- well into the -- low 141000 range.
And would you start buying them I am I am buying some equities right now I don't entirely disagree and I guess I'm not if I if you have an -- -- only buys the S&P 500 indices -- or the those type of products and now I'm not a -- on -- -- -- -- -- -- -- -- -- -- -- -- -- -- I have no idea Liz I have no idea we both -- -- It's sipping cocktails on Bermuda and yeah I mean it but I notice that I think -- -- I do well I can't go ahead here's what I -- you know I do know that there -- some really good companies out there.
They can be had at great prices in some really great companies.
That can be purchased at good prices.
So I mean look I'm still a big -- on dividend paying stocks even though they're sort of out of favor right now.
I think if you can identify good solid high quality company with a clean balance sheet that can consistently -- its dividend going forward.
That's great for all these retiring Americans.
I mean you listen the most unreconstructed -- is gonna have to agree that the market may have gotten ahead of the recovery.
But there's a big -- and picture going on then with the world's economy right.
So you got a city selfless and as the market isn't market really cheap right now should you be buying is that historically cheap.
I see -- numbers saying it's -- person what was it that she does it's -- I blower I'd love to have more of of a -- -- in the exchange with mr.
Murray but -- I -- entirely disagree because I that is the way the individual investors should be trading.
When stocks go on sale and is a panic throughout the world the same way in the in the financial crisis that we saw you -- the best banks in America on sale for one dollar and two dollars a share.
That's when real money is weighed Warren Buffett bought a chunk.
Of Goldman Sachs and made billions of dollars because everybody else panicked and didn't want a piece that's just part of the individual investor that's where you wanna take a look at those stocks that had been beaten up and the dividend stocks are the ones that have taken it on the -- the most that you didn't I don't get off that's where I would be putting my I'm really -- Yeah I love I'm an old fashioned values dividend exclusion -- dividend money manager blue chip dividends and to your point about valuation Liz I think -- interest and that if you.
Look at -- is I mean you know it's not the only measurement of valuation but certainly it's one measurement price earnings ratios.
If you look at the key of the Dow Jones Industrial Average seven years ago it's roughly the same whereas it as it is today right around 14151000.
Or so same thing with the S&P 500.
But they -- denominator is up.
88 dollars a share in the S&P 500 which is what it -- back you know seven to 110 today -- -- 30% of the.
Earnings -- -- earnings are coming and things are on sale we don't have really like the accounting shenanigans that we have from prior.
You know bubbles right go ahead final final worked -- -- the stock market is not China the stock market is not the Fed -- not QE it's not tapering the stock market is individual businesses like.
Horizontal drilling in 3-D printing and big data and -- cures for cancer and other diseases.
That's what you're investing in as an individual investor stock market thought they got there will a shot -- -- -- good to be your future effects and I think you're not.
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