Well, not only was it my birthday week, but it was a week we will remember as one when the markets went into freefall. I am hopeful the markets will gain some stability and they should if we would all step back and take a breath. The fear the media is spreading through its reporting is causing a lot of the panic we are seeing. I am also wary of the reporting because of the election coming up in less than a month. The promises the candidates promote will not be possible given the current environment. Indeed, we will have to cut programs instead of spend, spend, spend (our philosophy over the last few years regardless of which party was in power). There's only so long you can go with a negative balance in your checkbook.
My advice for the near term:
Stay the course,
Don't listen to the news reports 24 hours a day
Evaluate your portfolio and need for income
If you don't need the cash for 5 years, forget about it!
Continue saving and pay for things with cash in the bank (don't borrow more than you can pay back in a month)
Have a 6 month to 1 year savings emergency fund before you start saving for anything else.
Relax.
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