Transcripts for CNN Your Money 20130630 19:55:15 archive.org - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from archive.org Daily Mail and Mail on Sunday newspapers.
glorious technicolor. yes. talk about the color of gold. you mentioned gold. gold has crashed. it has crashed. listen. regular investors have been saying, oh, the fed, look at the fed, manipulating everything. i ll buy gold. regular investors have been killed this quarter in gold. a dumb, stupid metal, the love of which i have never understood. except as a marriage band or as a piece of delightful jewelry. no. mine s platinum! exactly. that s my point. people say have a bit of gold in the portfolio as a counterbalance. what? for the day it all goes wrong. the dollar has gone up. gold has gone down. growth came back with no inflation. the run-up in gold was over, done, two years ago. the run-up, the falloff is probably overdone. a bit of gold. you can t eat it! michael farr, last word to
one way or the other. what s driving this? nothing about what we re seeing should surprise us. one simple reason. the rules of the road have changed. bear in mind we have got qe3. until this qui sis, we never had qe1. qe is unknown. it s not surprising. everything uncertainty, unknown, new rules, even the fed admits it s experimental. tapering. i mean, these are all different concepts. so it is not surprising in this environment that when something is like bernanke speaking or when you have gold moving that investors are just moving with an element of herd mentality and with an element of uncertainty. exacerbate this? of course. new rules of the road, high frequency trading. everything is faster, more detailed, more pronounced. it is as if the markets are in
what would it be? i think i d give it a c plus. really trying hard for a b minus. your one piece of advice for seller sellers. you have to look at the market. what sellers do, read about everything popping, they get greedy. not everything is selling. you have to price within the market norms at this point. price it right. what about for buyers? buyers, i wouldn t panic, if you really want to take advantage of rates. i think rates will be pretty reasonable the next couple of years. just take your time. find something that you want, just don t rush in and buy something just because you think you re supposed to. buying real estate is not like buying an etf. a very big commitment with a lot of money. thanks for coming in. nice to see you. college kids, you will pay double to borrow money for tuition next year, as if college isn t already expensive enough. everyone s retirement dream is different;
emotion is the foe of the long-term investor. i mean, i ve said for years, if it feels bad, do it. forget everything you learned in the 70s. okay? forget everything you learned in the 70s. let s get a banner for that. moms and dads everywhere, if it feels bad do it. tattooed maybe. look. if you are loving stocks as we did in the dot-com or in 2007, or perhaps as you are beginning the love them again now, you re probably better off thinking about becoming a seller than a buyer. if you re hating stocks as you did in 2009 with the market below 7,000 on the dow, that was the time to buy so don t worry certainly pay attention to how you feel but you re better off as an investor doing the opposite. oh, richard, if we could all be robots in the investment world but we are not and this volatility is just mind numbing. used to be 50 points was a big move. now 100 points over the last couple of dozen sessions.