Stock Market Questions…..Any Experts?

jman9182: Stock Market Questions…..Any Experts?
I have some doubts about investing in the stock market. Some people think it will go up and they’re investing now. But I have many doubts. So im asking anybody “Do you think the stock market will go up because of the new president?” Also “If you do think it will go up then could you give me some feedback and reasons why you think it’ll go up.” One last thing. If you think it will go up then please help me decide which stock to invest in like “Dow Jones” or “S&P 500”
Thank-you.

Answers and Views:

Answer by Laissez-Faire Guy
It will go up, but not because of the new president. And it may not go up soon.

It will go up because recessions eventually end, and our economy will grow again.

I think this is a great time to invest in the market, if you are OK leaving the money alone for 3 or 4 years. If you do, I think you’ll profit handsomely.

Answer by banjoman
J.P. Morgan was once asked “What will the market do?”

His answer was “Fluctuate!”

The market will go up and down. But the long-term trend is always up. When the market is down is the best time to invest. It may go down more, but it will eventually go up even more than it has. I, for one, am putting ALL my spare cash in the market right now.

Answer by Jim Z
The stock market will go up in the first half of 09. This recession is over a year old, and they generally last 18 – 24 months. The stock market will precede the recession end by 6 months. There is 7 Trillion dollars sitting on the side lines. Market will probably go up 30 -40 % before it again retreats. It will retreat within the next year to even new lows. Go to a book store and buy either Money Magazine, Kiplinger magazine, and see what they suggest. If you are looking to buy with a sizable amount of money, buy a Mutual Fund. Magazines will help direct you.

Answer by Joseph P
So to answer your first question, we as investors can only speculate as to what the market will do. No one has any idea as to if the market will go up one day or the next no less predict the market over the course of a year. If someone could do this, they would be the financial guru of the world and probably would not waste their time telling you how they do it on answers website.

Secondly, I just want to point out that although you can invest in ETF’s and Mutual funds that Model the Dow Jones and the S&P 500, these are not actual stocks and so you cannot buy 200 shares of the DOW. The DOW and S&P are simply measurements of the market.

Next, will the market go up because of the president? This is again a question that if I knew the answer to, I would be a millionaire by the end of this year. Some believe that he will instill confidence in the consumer and thus the market will return to its past levels. Others feel that his programs require to much government intervention and spending and will lead the economy to a worsened state. Unfortunately no one will know the outcome till it happens.

My suggestion to you is not to invest if you are unsure. Those investors who are unsure where to place their money will make decisions based on advice given to them or will jump to conclusions as they try to make quick profitable decisions. Do the research and look into either a good mutual fund if you choose not to manage your own funds. If you choose to manage your money actively, do the research into individual stocks and keep a diversified account.

My current account include positions in Visa (V), Diana Shipping (DSX), Morgan Stanley (MS) and a speculative play in Ford (F).

I am also the holder of several Call and Put options which you need not worry about.

The only advice I can give you is that which I stated before, whatever it is that you choose to do, be sure that you have done the homework, researched the underlying assets and are fully committed to where you are investing your money.

Answer by Space Invader101
“Do you think the stock market will go up because of the new president?” I’ll let you make your own judgement:

Alot of companies on the Dow Jones and overall market haven’t announced their 2008 reports to the market yet. If you look at a weekly chart of the Dow to filter out volatility, this would explain why it’s going sideways. Companies like Coca Cola, Exxon Mobil, McDonald’s etc have not yet presented their reports to the market.

It’s a good time to invest in the market as long as you’re selective. Until more reports become available I highly recommend Dow component: IBM

IBM:

Apple (AAPL) would also be good.