Well as we near the dreaded April 15th IRS tax deadline, how do we feel about the economy? I know, some of you may say that it the overall picture of the economy is that we are in a "recession" or some argue that this is actually a "depression". Whatever is going on, I'm sure we can all agree that things can get better.
Gas prices, food prices and other goods are gradually increasing, thus putting more of a burden on our families and citizens. I know my wife and I have felt some of the sting in our pockets. Heating oil and gas have hurt. Maybe it's because we bought a new truck and that F150 is sucking down the gas like a thirsty dog. Oh well, I needed it right? I think so. Regardless of the prices we pay, we still have to make sacrifices to make sure we hold our heads above water. We take turns on using the gas guzzling truck versus the other economy car. We buy store brands items instead of name brand (except Oreo's). We constantly look for the cheapest gas in the area and try not to take too many trips away from the home. Sacrifice is the name of the game.
There is also another thing we do that I feel is a better deal than it was a year ago. It may sound crazy but what the heck, we're still young. We increased our funds to our retirement accounts and stocks savings accounts. What...you ask? Well, if you haven't realized it lately, stocks are down right now, which means in MattTERMS...they are on sale! That's right, company stocks such as Merck (MRK), Pfizer (PFE), Microsoft (MSFT), and yes, even Bear Stearns (BSC), are all "on sale". Now, we know what happened to Bear Stearns and how the Fed is bailing them out, so throw that aside for now. Those other companies have great growing potential right now. For one, they all pay dividends and two, they are with-in striking distance of their 52-week low. Which means the "Blue Light Special" is on in Aisle Watt Street.
Now, I'm not a financial guru, but I do know a sale when it hits me beside the head. I know, how can stocks be considered a "sale" item? Well, the point is, if you are investing for your future, putting more money in your retirement savings or other investment portfolios, buying more stocks at a lower price only means that when the market does correct itself, the stock goes up as well as the dividend. Mind you, we only invest in proven companies, such as those in the Dow Jones 30, especially those that pay dividends. So, let the American investment spirit take over and let the fortunes begin.
God Bless America!
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