The only suckers are those who didn't cash out when obongo was sworn in to another term. If you're still holding in the belief that your stocks, like home values in 2006, can only go up, up, up from here on out, then bless your little heart.
Well, the day after Obama WON his election to the second term, the DJIA closed at 12,932 (November 7, 2013).
The day after he was sworn in for his second term (January 21, 2013), the DJIA was at 13649 (markets were closed that day for MLK day?).
Today it is at 14329.
So, maybe tomorrow we will all be suckers. But from his re-election, those who didn’t cash out have made 10.8% in about 4 months (about 30% annualized).
And from his inauguration, those who didn’t cash out have made 5% in 2 months, about a 30% annualized return.
So again, who is the sucker? The one who pulled out at election, or inauguration, or the one who stuck it out until today?
I’m not saying the market won’t crash tomorrow. I’m not saying that I expected the market to go up after he was re-elected. I’m saying that, from where we sit now, those who pulled money out earlier lost money.
Maybe today was the day to pull out. But if the person saying so today is the same person who said it a year ago, I have no reason to believe them.
I’m mad that the market has run up so quickly, because I’m not retiring yet, so I’m still investing in my 401k, and I’d rather be buying stocks at 12,000 than 14,000.