It appears right now there there is a pretty big market pull back happening right now. So far this month the TSX is down over 700 points, the NASDAQ is down almost 1000 points and the DJI is down almost 1600 points. At this point there is a plethora of reasons as to why we are seeing this pull back right now. Some of those reasons are the crazy rise in inflation, the lack of product supplies, the rising unemployment rate and the ongoing fiasco with Evergrande. Even crypto currencies have taken a big hit as of lately, a sector I have increased my investing in. I personally feel like this is an opportunity though, take advantage of companies(and coins) coming off their ATH(all time high).
This pull back hasn’t affected all sectors though, the Oil and Gas sector(especially natural gas) has seen very nice gains lately and does not seem to be slowing down along with everyone else. That seems to be about it for now though, even most of the tech sector has seen some serious declines as of late. In a conversation I had with Colby though he pointed out that this is pretty typical for this time of year to see these sorts of sell-offs and pull backs. That is a fair point, summer is over and fall is here which means colder weather and the chance is less likely that people will be going out. Not to mention the fact that we are in the fourth wave of the pandemic which seems like it is never going to end.
All in all nothing will change for me and my style of investing. I will continue to add to all of my portfolios which means my stocks and my cryptos. Oh, did I mention that I also got Colby into crypto? In pull backs like this as you can diversify as much as you want but sometimes it just doesn’t matter, even with crypto. But the best thing you can do is stick to your plan and don’t panic sell because that generally takes things from bad to worse. I plan to hold everything and add as much as I can while things are down because if the pandemic and the markets have taught me anything its that it will always bounce back, its only a matter of time and patience.
That is all for today and remember everyone, invest in yourself first.