Generational Buying Opportunities
They've happened and will happen again
As I write this, the S&P 500 just closed at an all-time record high. It’s 54th all-time high of 2024.
Why am I writing about generational buying opportunities with the stock market at all-time highs?
It’s a reminder to remember this moment. Just like you need to be reminded about the moments of panic when the generational buying opportunities occur.
Do you remember where your were in March 2020? Do you remember the thoughts that were going through your mind?
I do. It was the depths of the pandemic and there was fear across the country. Both Main Street and Wall Street were in a state of panic. Everything was closed and on lock down.
I recall staring out my home office window one morning wondering, what’s next? When will we be able to go back to our offices? Is the world ending? Is life as we know it changed forever?
As I was watching CNBC that morning, I was reminded of something that Art Cashin had once said.
“You never bet on the end of the world because that only happens once and something that happens once in infinity is a long shot.”
On March 20, 2020 the S&P 500 hit a closing low if 2,305. Since that point until now, the S&P 500 has climbed from 2,305 to 6,047.
The pandemic caused the S&P 500 to experience a 34% selloff in 33 days.
It was a generational buying opportunity. If you bought something, you wish you had bought more. If you were too scared to buy anything, you wish you had bought something.
Hindsight is always 20/20. It’s what you learn and takeaway from times like this that really matter.
When we see the specials on CNBC running like Markets in Turmoil or when fear is running high, it might be the time to buy something.
Every selloff, correction and crash has been a buyable event. This has worked every single time. Just buy.
It has been true for the life of the stock market. There is no other way to spin it.
We’ve been through the events along the way. We know all the reasons to sell or not to buy. It turns out that they’ve all just been a distraction.
The next time you’re fearful. The next time you’re nervous or scared to buy, it might be best to remember what you were doing and thinking back in March 2020. What do you wish you would have done differently?
Instead of being fearful and afraid, take advantage of the next generational buying opportunity. They don’t come along very often. When they do, be ready. It will happen again.
The Coffee Table ☕
This week the famed and beloved Art Cashin passed away. A few weeks ago I wondered how Art was doing. I grew up watching CNBC and whenever Art came on I made sure the volume was up. His simple insights and common sense approach to the stock market was always so refreshing. I’ve really missed seeing and listening to him over the past year. His friend Bob Pisani had a great write up on Art and CNBC made a nice video tribute of it. RIP Art.
Source: Bob Pisani
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