Author Topic: investing news sites are crazy  (Read 7448 times)

CmFtns

  • Pencil Stache
  • ****
  • Posts: 583
  • Age: 28
  • Location: Melbourne, Fl
investing news sites are crazy
« on: July 12, 2016, 08:11:13 AM »
So yesterday when I checked sp500 price the top google "news" article was:
http://www.marketwatch.com/story/3-reasons-why-you-shouldnt-buy-into-the-sp-500s-breakout-effort-2016-07-11

then today when I checked it the top article was:
http://www.marketwatch.com/story/why-investors-shouldnt-fear-buying-into-the-sp-500s-breakout-2016-07-11


Same website 1 day apart and exactly opposite advice. Things like this make me glad I don't ever try to time the market.
« Last Edit: July 12, 2016, 08:21:36 AM by CmFtns »

MoneyCat

  • Handlebar Stache
  • *****
  • Posts: 1754
  • Location: New Jersey
Re: investing news sites are crazy
« Reply #1 on: July 12, 2016, 08:40:55 AM »
I check CNBC's website to track how the markets are doing and basically every article they have is total and utter horseshit. Financial "experts" know absolutely nothing. Unless you are investing in index funds, you are a gambler. Period.

MgoSam

  • Magnum Stache
  • ******
  • Posts: 3643
  • Location: Minnesota
Re: investing news sites are crazy
« Reply #2 on: July 12, 2016, 08:44:54 AM »
Unless you are investing in index funds, you are a gambler. Period.

I LOVE Warren Buffett, but I dislike how many people use him as proof that you can invest in something other than index funds and be golden. Of course, when I ask them how they chose stocks and how long they intend on holding it, most people give me a blank look. Yes, "value investing" can provide you with a sizable return, but only if you know what you are doing.

fattest_foot

  • Pencil Stache
  • ****
  • Posts: 639
Re: investing news sites are crazy
« Reply #3 on: July 12, 2016, 09:39:44 AM »
I've taken to just using Google to check the S&P 500 daily, and so you also get all the latest articles about it.

It's pretty insane how reactionary every single day is. Right now everything is grand because we hit a new high, but I'm sure in 2-3 days (or next week) it's going to be depressing, right before it's time to buy again.

In fact, I'd say reading headlines every day might be one of the best ways to convince someone that the experts don't actually have a damn clue.

acroy

  • Handlebar Stache
  • *****
  • Posts: 1702
  • Age: 41
  • Location: Dallas TX
    • SWAMI
Re: investing news sites are crazy
« Reply #4 on: July 12, 2016, 10:02:05 AM »
Unless you are investing in index funds, you are a gambler. Period.

Indexing just spreads the bets, hoping for more wins than losses. Up and down with the market. No research required. Easy, simple, cheap. Successful only in a growing economy. I still call it a gamble as there is no value analysis.

slugline

  • Handlebar Stache
  • *****
  • Posts: 1160
  • Location: Houston, TX USA
Re: investing news sites are crazy
« Reply #5 on: July 12, 2016, 11:04:12 AM »
Same website 1 day apart and exactly opposite advice. Things like this make me glad I don't ever try to time the market.

At least the authors were different. So while it's the same website, at least they're allowing both sides to make their case to the readers! (But still, the average investors are more likely to crash and burn attempting to time the market.)

boarder42

  • Walrus Stache
  • *******
  • Posts: 7849
Re: investing news sites are crazy
« Reply #6 on: July 12, 2016, 11:28:24 AM »
I check everything on CNBC I like to read the articles for fun they don't influence my investment decisions though. But you will consistently see similar versions of the same article just responded and reposted.

1. This is why the Dow is going to 12k
2. This is why the Dow will hit 20k by end of year
3. If you save earlier in your life you don't have to save as much as if you start saving later
4. Millenials don't buy houses
5. Millenials don't save
6. Millenials have way more saved than boomers did at this point

Travis

  • Handlebar Stache
  • *****
  • Posts: 2371
  • Location: Arizona
Re: investing news sites are crazy
« Reply #7 on: July 12, 2016, 11:32:15 AM »
I check everything on CNBC I like to read the articles for fun they don't influence my investment decisions though. But you will consistently see similar versions of the same article just responded and reposted.

1. This is why the Dow is going to 12k
2. This is why the Dow will hit 20k by end of year
3. If you save earlier in your life you don't have to save as much as if you start saving later
4. Millenials don't buy houses
5. Millenials don't save
6. Millenials have way more saved than boomers did at this point

It gets even worse when you watch them live on tv.  It's as if they're secretly playing a game of Bingo underneath the desk throwing out as much jargon as they can in their 5 minute discussion.  You only need to understand half the terminology to realize they're not really saying anything of use.  They're also desperately hoping you forgot what they said the day before, because unless they got lucky and their predictions came true (and it's almost always luck) they'll never bring it up again.

gooki

  • Handlebar Stache
  • *****
  • Posts: 2359
  • Location: NZ
Re: investing news sites are crazy
« Reply #8 on: July 12, 2016, 06:18:42 PM »
What I don;t understand is why is opinion allowed to be distributed as news?

boarder42

  • Walrus Stache
  • *******
  • Posts: 7849
Re: investing news sites are crazy
« Reply #9 on: July 12, 2016, 06:41:24 PM »
What I don;t understand is why is opinion allowed to be distributed as news?

Well bc a pundit says something that's their opinion then someone reports on that opinion like it's news. See foxnews every other show pundit / news / pundit / news

kayvent

  • Pencil Stache
  • ****
  • Posts: 637
  • Location: Canada
Re: investing news sites are crazy
« Reply #10 on: July 13, 2016, 08:05:53 PM »
Unless you are investing in index funds, you are a gambler. Period.

I LOVE Warren Buffett, but I dislike how many people use him as proof that you can invest in something other than index funds and be golden. Of course, when I ask them how they chose stocks and how long they intend on holding it, most people give me a blank look. Yes, "value investing" can provide you with a sizable return, but only if you know what you are doing.

A counter I've developed is this: Warren Buffett is not a stock investor. Look at Berkshire Hallaway's assets. They own 100% of many companies and own large percentages of many others. He's an investor. For both categories before they (Warren and/or Co.) buy into a company they fly over to the company's offices, have the Berkshire team pour over their books, and interview the leadership team. This is not comparable to normal people who buy less than 100000$ worth of shares in a company valued at 10000000000$ (0.000001%?).
« Last Edit: July 13, 2016, 08:09:17 PM by kayvent »

cheapass

  • Pencil Stache
  • ****
  • Posts: 507
  • Location: Dallas, Texas
  • On track for FIRE @ 40
Re: investing news sites are crazy
« Reply #11 on: July 14, 2016, 08:11:24 AM »
It's so funny. When the market hits a new high (which should happen pretty frequently thanks to inflation - how is this news?) everyone on tv is high-fiving and jerking each other off. Then 10 mins later the gloom and doom opinion starts, OMG it's the end of the bull market, the price of tea in China is down 17 of the last 39 days, this hasn't happened since 2001!!!!!

fattest_foot

  • Pencil Stache
  • ****
  • Posts: 639
Re: investing news sites are crazy
« Reply #12 on: July 14, 2016, 08:13:45 AM »
It's so funny. When the market hits a new high (which should happen pretty frequently thanks to inflation - how is this news?) everyone on tv is high-fiving and jerking each other off. Then 10 mins later the gloom and doom opinion starts, OMG it's the end of the bull market, the price of tea in China is down 17 of the last 39 days, this hasn't happened since 2001!!!!!

Yep. Yesterday I saw an article saying that the S&P could hit 2400 this year. This morning, "here's why it might fall 15% this summer."

cheapass

  • Pencil Stache
  • ****
  • Posts: 507
  • Location: Dallas, Texas
  • On track for FIRE @ 40
Re: investing news sites are crazy
« Reply #13 on: July 14, 2016, 08:22:27 AM »
It's so funny. When the market hits a new high (which should happen pretty frequently thanks to inflation - how is this news?) everyone on tv is high-fiving and jerking each other off. Then 10 mins later the gloom and doom opinion starts, OMG it's the end of the bull market, the price of tea in China is down 17 of the last 39 days, this hasn't happened since 2001!!!!!

Yep. Yesterday I saw an article saying that the S&P could hit 2400 this year. This morning, "here's why it might fall 15% this summer."

It's almost like... all of the banks and brokers are incentivized to encourage people to jump in and out of the market.. as if that's how they make a bulk of their commissions and fees...

Jack

  • Magnum Stache
  • ******
  • Posts: 4734
  • Location: Atlanta, GA
Re: investing news sites are crazy
« Reply #14 on: July 14, 2016, 08:46:56 AM »
Unless you are investing in index funds, you are a gambler. Period.

Indexing just spreads the bets, hoping for more wins than losses. Up and down with the market. No research required. Easy, simple, cheap. Successful only in a growing economy. I still call it a gamble as there is no value analysis.

On the contrary: indexing is like being the casino. It doesn't matter what the actual gamblers do; the built-in house advantage means you eventually win.

What I don;t understand is why is opinion allowed to be distributed as news?

Because to do otherwise would be censorship. Back in the day, the big news organizations had professionalism and standards, but then they realized they can make more money without them and those got thrown out the window.

acroy

  • Handlebar Stache
  • *****
  • Posts: 1702
  • Age: 41
  • Location: Dallas TX
    • SWAMI
Re: investing news sites are crazy
« Reply #15 on: July 14, 2016, 08:59:31 AM »
Unless you are investing in index funds, you are a gambler. Period.

Indexing just spreads the bets, hoping for more wins than losses. Up and down with the market. No research required. Easy, simple, cheap. Successful only in a growing economy. I still call it a gamble as there is no value analysis.

On the contrary: indexing is like being the casino. It doesn't matter what the actual gamblers do; the built-in house advantage means you eventually win.
Nope; the trading house is the casino. The companies taking management fees from financial products are the casinos. Up down or sideways, they get paid.

Indexing is like going to a casino and placing bets on every table on every color and on every number. A very special casino called the Stock Exchange which historically pays out more than it takes in, but every bet you place comes with the disclaimer that past performance does not indicate future returns.

Again, going to this special casino only works in a growing economy.

Kaspian

  • Handlebar Stache
  • *****
  • Posts: 1536
  • Location: Canada
    • My Necronomicon of Badassity
Re: investing news sites are crazy
« Reply #16 on: July 14, 2016, 09:10:58 AM »
I wish I'd taken screenshots, but one day this happened on Reuters:

"Markets Tumble Due To ______."

And not 3 hours later, it said:

"Markets Rise Due To ______."

Not only was the cause was the exact same thing, the article was exactly the same but someone had obviously done a word search/replace for "fall" and replaced it with "rise".   The same story word-for-word but with a different market direction.  WTF.

Travis

  • Handlebar Stache
  • *****
  • Posts: 2371
  • Location: Arizona
Re: investing news sites are crazy
« Reply #17 on: July 14, 2016, 11:15:53 AM »
It's so funny. When the market hits a new high (which should happen pretty frequently thanks to inflation - how is this news?) everyone on tv is high-fiving and jerking each other off. Then 10 mins later the gloom and doom opinion starts, OMG it's the end of the bull market, the price of tea in China is down 17 of the last 39 days, this hasn't happened since 2001!!!!!

Yep. Yesterday I saw an article saying that the S&P could hit 2400 this year. This morning, "here's why it might fall 15% this summer."

It's almost like... all of the banks and brokers are incentivized to encourage people to jump in and out of the market.. as if that's how they make a bulk of their commissions and fees...

Somewhere on the forum I posted a fake news story a few months ago that described how utterly monotonous the market can be if someone were completely honest in reporting the news. In a nutshell: Stuff happened. Pundits who don't know what they're talking about talked too much. Long term investors didn't even turn on the tv. Short term investors bought some stress medication.  Half bought stock. Half sold - probably too much of the wrong stock.  The financial industry pocketed about a billion dollars in fees. None of the pundits or short term investors even noticed that last statement yet it tells more about the market and the industry than any other fact or figure.

MgoSam

  • Magnum Stache
  • ******
  • Posts: 3643
  • Location: Minnesota
Re: investing news sites are crazy
« Reply #18 on: July 14, 2016, 11:47:46 AM »
Unless you are investing in index funds, you are a gambler. Period.

I LOVE Warren Buffett, but I dislike how many people use him as proof that you can invest in something other than index funds and be golden. Of course, when I ask them how they chose stocks and how long they intend on holding it, most people give me a blank look. Yes, "value investing" can provide you with a sizable return, but only if you know what you are doing.

A counter I've developed is this: Warren Buffett is not a stock investor. Look at Berkshire Hallaway's assets. They own 100% of many companies and own large percentages of many others. He's an investor. For both categories before they (Warren and/or Co.) buy into a company they fly over to the company's offices, have the Berkshire team pour over their books, and interview the leadership team. This is not comparable to normal people who buy less than 100000$ worth of shares in a company valued at 10000000000$ (0.000001%?).

True, but that's what they do now. Buffett's has had a tremendous record going back to his days as a stock picker (when he first started out). I believe that if he were doing that today his annualized return would still greatly surpass the S+P500.

The people that mention him doing really know what they're talking about and I've learned that explaining that he's a "Value Investor" is a waste of time, everyone claims to be line (like how everyone thinks they are an above average driver). Instead I simply shrug and say, "For every Warren Buffett there's a million suckers that you'll never hear about."

TheAnonOne

  • Handlebar Stache
  • *****
  • Posts: 1453
Re: investing news sites are crazy
« Reply #19 on: July 14, 2016, 11:50:46 AM »


July 12th: Market hits record high going to 2137->2150
"THE MARKET HIT A RECORD HIGH"

July 13th: Market stays at 2150
"THE MARKET HAS RUN OUT OF STEAM"

I wanted to post that here with articles but couldn't find the time...

GrumpyPenguin

  • Bristles
  • ***
  • Posts: 282
Re: investing news sites are crazy
« Reply #20 on: July 14, 2016, 12:15:09 PM »


July 12th: Market hits record high going to 2137->2150
"THE MARKET HIT A RECORD HIGH"

July 13th: Market stays at 2150
"THE MARKET HAS RUN OUT OF STEAM"

I wanted to post that here with articles but couldn't find the time...

Good quotes, it's so true.  Freaking CNBC is playing in the breakroom in front of my office ALL day and I have to hear that crap.  Ideally I'd see what my stocks were doing maybe once a week, but I end up seeing it throughout every workday... uhg.

Ann

  • Stubble
  • **
  • Posts: 233
Re: investing news sites are crazy
« Reply #21 on: July 14, 2016, 12:23:20 PM »
I LOVE Warren Buffett, but I dislike how many people use him as proof that you can invest in something other than index funds and be golden.

For those people who love Warren Buffett, just direct them to all the articles about his million dollar bet Hedge Funds vs Vanguard 500 Index Fund.  Even Buffett thinks index funds are the way to go.

One of many possible links:
http://fortune.com/2016/05/11/warren-buffett-hedge-fund-bet/
« Last Edit: July 14, 2016, 12:24:57 PM by Ann »

cheapass

  • Pencil Stache
  • ****
  • Posts: 507
  • Location: Dallas, Texas
  • On track for FIRE @ 40
Re: investing news sites are crazy
« Reply #22 on: July 14, 2016, 12:48:05 PM »
Indexing is like going to a casino and placing bets on every table on every color and on every number. A very special casino called the Stock Exchange which historically pays out more than it takes in, but every bet you place comes with the disclaimer that past performance does not indicate future returns.

Again, going to this special casino only works in a growing economy.

On average in the long term, it works at an inflation adjusted rate of ~7%. Unless your crystal ball knows what years will be "up" and what years will be "down" you're always better off staying in the market. Even portfolio managers making millions of dollars per year don't beat the market any given year (at least 90% of them don't, and you're flipping a coin which ones to choose in advance).

MgoSam

  • Magnum Stache
  • ******
  • Posts: 3643
  • Location: Minnesota
Re: investing news sites are crazy
« Reply #23 on: July 14, 2016, 12:48:57 PM »
I LOVE Warren Buffett, but I dislike how many people use him as proof that you can invest in something other than index funds and be golden.

For those people who love Warren Buffett, just direct them to all the articles about his million dollar bet Hedge Funds vs Vanguard 500 Index Fund.  Even Buffett thinks index funds are the way to go.

One of many possible links:
http://fortune.com/2016/05/11/warren-buffett-hedge-fund-bet/

Tried and it felt like I was speaking to a brick wall.

One thing that I just remembered is someone who claimed that gold was the way to go. In the past he's used Buffett as his investing inspiration. I recall one of Berkshire's annual letters where Warren explains the folly of gold, I sent that highlighted portion to my friend and received a response along the lines of "He doesn't know what he's talking about."

I just want to point out that with my friends and other people I know that are investing, I don't mean to ever question their choices. It's their business, it's just as a friend I would prefer to advise them. The moment I feel like they aren't interested or don't want to listen, I stop. With people mentioning Buffett, these are friends that said this to me. I suspect that they are expecting me to congratulate them on their wisdom, but once I see that they don't care for my advice, I back away and change the subject to something else. Part of why I do this is every so often another friend will hear from that first friend that I have decent investing advice and reach out to me. This is a huge reason of why I don't keep it a secret that I plan on retiring before the age of 40, I've lost count of the people that ask me how I plan to do so and have said that it is something they should think about.
« Last Edit: July 14, 2016, 12:53:44 PM by MgoSam »

MissNancyPryor

  • Bristles
  • ***
  • Posts: 487
  • Age: 50
  • Location: Northwest USA
  • The Stewardess is Flying the Plane!
Re: investing news sites are crazy
« Reply #24 on: July 14, 2016, 01:09:08 PM »
I wish I'd taken screenshots, but one day this happened on Reuters:

"Markets Tumble Due To ______."

And not 3 hours later, it said:

"Markets Rise Due To ______."

Not only was the cause was the exact same thing, the article was exactly the same but someone had obviously done a word search/replace for "fall" and replaced it with "rise".   The same story word-for-word but with a different market direction.  WTF.

No joke.  Every morning some old fart investing adviser in town gives a market update during the drive time radio show.  It is ridiculous the shit he says about why the market is up or down, total bullshit bingo like he is pulling reasons out of some big bag.  Predictable old trope lines, no insight, just totally made up based on any little bit of news that might be going around.  Anyone can play that game. 

There is one particular lady who is always predicting major bear markets and is not even as accurate as a broken clock.  That old crow has been saying for years that the market will crash, over and over she repeats this for various reasons, and she is not right.  When the market falls it is never for the reasons she has cited.  And yet she still gets face time on the TV shows.  She was famously denying the post-2008 climb back up the whole way and warning folks to stay out.  If people followed her advice they would have missed out hugely. 
« Last Edit: July 14, 2016, 02:09:16 PM by MissNancyPryor »

CmFtns

  • Pencil Stache
  • ****
  • Posts: 583
  • Age: 28
  • Location: Melbourne, Fl
Re: investing news sites are crazy
« Reply #25 on: July 15, 2016, 07:50:54 AM »
Don't worry you all... don't worry
because the news says

"Don't worry—it looks like S&P 500 has more gas in the tank"

gggggg

  • Bristles
  • ***
  • Posts: 430
Re: investing news sites are crazy
« Reply #26 on: July 19, 2016, 12:52:03 PM »
The more I increase my market knowledge, the less I believe any of those sites or financial folks. Just index, rebalance, and maybe buy a little extra during dips if you want.

TheGrimSqueaker

  • Handlebar Stache
  • *****
  • Posts: 2105
  • Location: A desert wasteland, where none but the weird survive
  • www.theliveinlandlord.com
    • The Live-In Landlord
Re: investing news sites are crazy
« Reply #27 on: July 19, 2016, 02:12:58 PM »
What I don;t understand is why is opinion allowed to be distributed as news?

Because news is packaged and sold as a form of media based entertainment, and there's accordingly an attention-seeking component that lends itself to drama, hyperbole, and fiction.

Digital Dogma

  • Bristles
  • ***
  • Posts: 423
Re: investing news sites are crazy
« Reply #28 on: July 19, 2016, 02:16:37 PM »
The more I increase my market knowledge, the less I believe any of those sites or financial folks. Just index, rebalance, and maybe buy a little extra during dips if you want.
This is how I try to invest as well. When the market is hitting all-time highs my average contributions are slightly lower as I hold back a bit, when it takes a dip I'll take advantage of it and purchase a little extra. Its the same approach I take at the grocery store - cheese on sale? Buy more cheese than usual. Cheese expensive? Buy less cheese than usual. Either way, keep buying.

This past year its worked very well for me, the first large dip (when the DOW went down to 16,000 or so) of last year I was able to make a bulk purchase of VTSAX, the second big dip occurred this winter just in time to max out my IRA contributions for last year. Recently I was able to take advantage of the Brexit dip. I made a few purchases in-between, but the bulk of my index funds were purchased on sale. I believe my average share cost is about 25 last time I checked, that will no doubt continue to go up as I purchase more funds.

patchyfacialhair

  • Handlebar Stache
  • *****
  • Posts: 1116
  • Age: 29
Re: investing news sites are crazy
« Reply #29 on: July 19, 2016, 02:22:35 PM »
The more I increase my market knowledge, the less I believe any of those sites or financial folks. Just index, rebalance, and maybe buy a little extra during dips if you want.
This is how I try to invest as well. When the market is hitting all-time highs my average contributions are slightly lower as I hold back a bit, when it takes a dip I'll take advantage of it and purchase a little extra. Its the same approach I take at the grocery store - cheese on sale? Buy more cheese than usual. Cheese expensive? Buy less cheese than usual. Either way, keep buying.

This past year its worked very well for me, the first large dip (when the DOW went down to 16,000 or so) of last year I was able to make a bulk purchase of VTSAX, the second big dip occurred this winter just in time to max out my IRA contributions for last year. Recently I was able to take advantage of the Brexit dip. I made a few purchases in-between, but the bulk of my index funds were purchased on sale. I believe my average share cost is about 25 last time I checked, that will no doubt continue to go up as I purchase more funds.

Why don't you just buy into the market as soon as you have the extra cash? Is it worth the stress of possibly making just a little more than if you just invested immediately? For you it may be, but for me, I don't get the appeal of trying to time the market.

Digital Dogma

  • Bristles
  • ***
  • Posts: 423
Re: investing news sites are crazy
« Reply #30 on: July 19, 2016, 02:47:33 PM »
The more I increase my market knowledge, the less I believe any of those sites or financial folks. Just index, rebalance, and maybe buy a little extra during dips if you want.
This is how I try to invest as well. When the market is hitting all-time highs my average contributions are slightly lower as I hold back a bit, when it takes a dip I'll take advantage of it and purchase a little extra. Its the same approach I take at the grocery store - cheese on sale? Buy more cheese than usual. Cheese expensive? Buy less cheese than usual. Either way, keep buying.

This past year its worked very well for me, the first large dip (when the DOW went down to 16,000 or so) of last year I was able to make a bulk purchase of VTSAX, the second big dip occurred this winter just in time to max out my IRA contributions for last year. Recently I was able to take advantage of the Brexit dip. I made a few purchases in-between, but the bulk of my index funds were purchased on sale. I believe my average share cost is about 25 last time I checked, that will no doubt continue to go up as I purchase more funds.

Why don't you just buy into the market as soon as you have the extra cash? Is it worth the stress of possibly making just a little more than if you just invested immediately? For you it may be, but for me, I don't get the appeal of trying to time the market.
Its a result of my overly cautious approach to online banking out of security concerns, inability to check my balance at a whim (due to distance from my bank), and being cautious to keep an adequate cash reserve on hand due to my status as a contractor with little protection from layoffs. Likewise, I'm extremely cautious not to link my Vanguard account back to my Bank account to withdraw funds, funds can only be added to the money market account, not removed.

My 401k however, is always chugging along. My friend tried to game his contributions to time the market a few years back, changing his contribution percentage up and down as the market changed. After a few weeks he decided it wasn't worth the trouble. Thats a bit nutty IMO.

gggggg

  • Bristles
  • ***
  • Posts: 430
Re: investing news sites are crazy
« Reply #31 on: July 19, 2016, 03:24:07 PM »
The more I increase my market knowledge, the less I believe any of those sites or financial folks. Just index, rebalance, and maybe buy a little extra during dips if you want.
This is how I try to invest as well. When the market is hitting all-time highs my average contributions are slightly lower as I hold back a bit, when it takes a dip I'll take advantage of it and purchase a little extra. Its the same approach I take at the grocery store - cheese on sale? Buy more cheese than usual. Cheese expensive? Buy less cheese than usual. Either way, keep buying.

This past year its worked very well for me, the first large dip (when the DOW went down to 16,000 or so) of last year I was able to make a bulk purchase of VTSAX, the second big dip occurred this winter just in time to max out my IRA contributions for last year. Recently I was able to take advantage of the Brexit dip. I made a few purchases in-between, but the bulk of my index funds were purchased on sale. I believe my average share cost is about 25 last time I checked, that will no doubt continue to go up as I purchase more funds.

Why don't you just buy into the market as soon as you have the extra cash? Is it worth the stress of possibly making just a little more than if you just invested immediately? For you it may be, but for me, I don't get the appeal of trying to time the market.

I do pay into my account consistently. I also have a credit union money market that pays well, that I keep a stock of liquid emergency cash in, it also holds future vehicle/home ac/roof money. When the market dips, I move a percentage of my mm money to my vanguard account. I then rebuild the withdrawn-on mm. It's not a big deal, I just move some into my vanguard when it goes "on sale".

joleran

  • Stubble
  • **
  • Posts: 151
Re: investing news sites are crazy
« Reply #32 on: July 19, 2016, 03:31:46 PM »
I do pay into my account consistently. I also have a credit union money market that pays well, that I keep a stock of liquid emergency cash in, it also holds future vehicle/home ac/roof money. When the market dips, I move a percentage of my mm money to my vanguard account. I then rebuild the withdrawn-on mm. It's not a big deal, I just move some into my vanguard when it goes "on sale".

I do the same as you.  It keeps me active and interested in the markets and my household personal finances which to me is engaging and interesting.

fattest_foot

  • Pencil Stache
  • ****
  • Posts: 639
Re: investing news sites are crazy
« Reply #33 on: July 20, 2016, 09:51:36 AM »
Why don't you just buy into the market as soon as you have the extra cash? Is it worth the stress of possibly making just a little more than if you just invested immediately? For you it may be, but for me, I don't get the appeal of trying to time the market.

Exactly. It's actually more like planning on buying cheese futures to be consumed 30 years from now. Sure, I can buy cheese for $1.12 today, and maybe $1.10 in a month if the "cheese market" takes a dip, but when I'm actually planning on consuming the cheese when cheese is going for $20, what difference does that 2 cents make?

I'm not sure if my analogy actually works, I'm just kind of craving cheese now.

runningthroughFIRE

  • Bristles
  • ***
  • Posts: 332
  • Age: 25
  • Location: Northwest Indiana
  • Ask for broader shoulders.
Re: investing news sites are crazy
« Reply #34 on: July 20, 2016, 12:13:01 PM »
Why don't you just buy into the market as soon as you have the extra cash? Is it worth the stress of possibly making just a little more than if you just invested immediately? For you it may be, but for me, I don't get the appeal of trying to time the market.

Exactly. It's actually more like planning on buying cheese futures to be consumed 30 years from now. Sure, I can buy cheese for $1.12 today, and maybe $1.10 in a month if the "cheese market" takes a dip, but when I'm actually planning on consuming the cheese when cheese is going for $20, what difference does that 2 cents make?

I'm not sure if my analogy actually works, I'm just kind of craving cheese now.
You compared the stock market to the stock market, so I don't think that works as an analogy.  Although it prompted me to check if such a thing as cheese futures existed and lo and behold they do, so thanks for the chuckle.

The extra 2 cents compounds to an extra ~15 cents after 30 years, which will add up if you're shoving in an extra thousand or two each time.  The arguement against this shouldn't be "what difference does it make" because we can measure the difference, and over 30 years of doing it it'll add up just as surely as $5 daily little luxuries do.  The more convincing arguement, in my mind, is "how can you be sure the market wouldn't have dipped further if you had just waited and invested on your normal schedule".

gggggg

  • Bristles
  • ***
  • Posts: 430
Re: investing news sites are crazy
« Reply #35 on: July 20, 2016, 04:00:35 PM »
Why don't you just buy into the market as soon as you have the extra cash? Is it worth the stress of possibly making just a little more than if you just invested immediately? For you it may be, but for me, I don't get the appeal of trying to time the market.

Exactly. It's actually more like planning on buying cheese futures to be consumed 30 years from now. Sure, I can buy cheese for $1.12 today, and maybe $1.10 in a month if the "cheese market" takes a dip, but when I'm actually planning on consuming the cheese when cheese is going for $20, what difference does that 2 cents make?

I'm not sure if my analogy actually works, I'm just kind of craving cheese now.

Some of us are putting into our accounts on a regular schedule, nothing has changed on that front. They only thing different some of us do is borrow a little out of our liquid accounts, and put it in the market when it drops. It's not a huge deal, I'll place a limit order when the market is down, and if it triggers a buy, good; if not, no biggie.

CmFtns

  • Pencil Stache
  • ****
  • Posts: 583
  • Age: 28
  • Location: Melbourne, Fl
Re: investing news sites are crazy
« Reply #36 on: July 20, 2016, 04:13:03 PM »
Why don't you just buy into the market as soon as you have the extra cash? Is it worth the stress of possibly making just a little more than if you just invested immediately? For you it may be, but for me, I don't get the appeal of trying to time the market.

Exactly. It's actually more like planning on buying cheese futures to be consumed 30 years from now. Sure, I can buy cheese for $1.12 today, and maybe $1.10 in a month if the "cheese market" takes a dip, but when I'm actually planning on consuming the cheese when cheese is going for $20, what difference does that 2 cents make?

I'm not sure if my analogy actually works, I'm just kind of craving cheese now.

Some of us are putting into our accounts on a regular schedule, nothing has changed on that front. They only thing different some of us do is borrow a little out of our liquid accounts, and put it in the market when it drops. It's not a huge deal, I'll place a limit order when the market is down, and if it triggers a buy, good; if not, no biggie.

I don't think of it like I have "extra cash"... I think of it like I have a revolving random amount of buffer money from paychecks that serves as a little bit of a buffer for bills to withdraw from or for large 1 time expenses/emergencies which isn't usually used to buy stocks until it gets large enough... but if there is an emergency stock sale then maybe I can risk bringing my buffer down to the bare minimum a month or two
« Last Edit: July 20, 2016, 04:16:34 PM by CmFtns »

patchyfacialhair

  • Handlebar Stache
  • *****
  • Posts: 1116
  • Age: 29
Re: investing news sites are crazy
« Reply #37 on: July 20, 2016, 05:49:49 PM »
Why don't you just buy into the market as soon as you have the extra cash? Is it worth the stress of possibly making just a little more than if you just invested immediately? For you it may be, but for me, I don't get the appeal of trying to time the market.

Exactly. It's actually more like planning on buying cheese futures to be consumed 30 years from now. Sure, I can buy cheese for $1.12 today, and maybe $1.10 in a month if the "cheese market" takes a dip, but when I'm actually planning on consuming the cheese when cheese is going for $20, what difference does that 2 cents make?

I'm not sure if my analogy actually works, I'm just kind of craving cheese now.

Some of us are putting into our accounts on a regular schedule, nothing has changed on that front. They only thing different some of us do is borrow a little out of our liquid accounts, and put it in the market when it drops. It's not a huge deal, I'll place a limit order when the market is down, and if it triggers a buy, good; if not, no biggie.

I don't think of it like I have "extra cash"... I think of it like I have a revolving random amount of buffer money from paychecks that serves as a little bit of a buffer for bills to withdraw from or for large 1 time expenses/emergencies which isn't usually used to buy stocks until it gets large enough... but if there is an emergency stock sale then maybe I can risk bringing my buffer down to the bare minimum a month or two

I like that mindset. Thanks for the elaboration.

CmFtns

  • Pencil Stache
  • ****
  • Posts: 583
  • Age: 28
  • Location: Melbourne, Fl
Re: investing news sites are crazy
« Reply #38 on: July 21, 2016, 09:14:22 AM »
Don't worry you all... don't worry
because the news says

"Don't worry—it looks like S&P 500 has more gas in the tank"

Everyone sell sell sell... Now that it is a few days later the news says:
"S&P 500: Running Out of Steam"

MgoSam

  • Magnum Stache
  • ******
  • Posts: 3643
  • Location: Minnesota
Re: investing news sites are crazy
« Reply #39 on: July 21, 2016, 09:17:47 AM »
Sites like that only sell fear, nothing more and nothing less. Fear gets people to keep clicking, fear gets them to tinker with their finances. These days it seems like nearly everyone either is stuffing money into their mattress or buying stocks, thinking that they know what they are doing. The only people profiting from these are the brokers and the fear mongers.

TheAnonOne

  • Handlebar Stache
  • *****
  • Posts: 1453
Re: investing news sites are crazy
« Reply #40 on: July 21, 2016, 10:24:08 AM »
Sites like that only sell fear, nothing more and nothing less. Fear gets people to keep clicking, fear gets them to tinker with their finances. These days it seems like nearly everyone either is stuffing money into their mattress or buying stocks, thinking that they know what they are doing. The only people profiting from these are the brokers and the fear mongers.

*And any of us smart enough to just buy the market