Markets:
S&P 500 down 15% and Nasdaq 100 down 23% YTD.
Housing Market:
- Mortgage rates from 2.5 to 5.5%. $1m loan at 3% is $30,000 per year, Double that to get pre-tax earnings of $60,000. That means you need to be earning at least $60,000 more per year to cover mortgage interest on $1m loan.
There is a silver lining to this market. Big downturns every decade or so make for the best 2-3 time opportunities in life to invest. 2022 is it. Fund your 529’s. Dollar cost average in.
- Sept 2000: 1520 - 800 Oct 2002. 47%.
- Oct 2007: 1565. 95% (doubled money in 5 years).
- March 2009: 712. 54% down.
- Jan 2022: 4800. 574%. Almost 6x. 13 years.
- May 2022: 3900. 20% down.
Tesla:
Ford: In another headline: Ford to Create Thousands of Factory Jobs, Invest $3.7 Billion in EV, Gas-Engine Production
- The 3.7 multibillion-dollar investment will go to retooling factories to build newer versions of gas-engine models, such as the Ford Ranger pickup and Mustang sports car, the auto maker said Thursday.
- 55,000 Union auto workers.
In Closing;
