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re: 2 year inverted yield curve

Posted on 4/22/24 at 10:33 am to
Posted by Bard
Definitely NOT an admin
Member since Oct 2008
51792 posts
Posted on 4/22/24 at 10:33 am to

quote:

I'm racking my brains over this. I'm 39. Tempted to put all future 403b/401k contributions for my wife and I into money market/cash starting this week with the anticipation of a hard recession similar to 2007-2009. I would not touch all current investments. Reassess 14-18 months out? Wise or foolish?


For my 401k, this is The Year of the Money Markets. All of my new allocations have been going into VFVXX or SPRXX. That said, I'm still holding my dividend stocks (since almost all of them reinvest).

I'm risk-averse so while some here were making good bank on the bulls earlier in the year, I was getting ready for what I believe is coming. That said, I'm not entirely convinced we're into the early stages of the shite yet (waiting to see Unemployment moving upward above 4% with momentum).
Posted by slackster
Houston
Member since Mar 2009
85119 posts
Posted on 4/22/24 at 11:11 am to
To say nothing about the difficulty of market timing, idk why people would make their contributions more conservative if they’re nervous. You contributions are DCA by their very nature, so volatility is great for them. If you’re trying to lower your risk, lower your exposure into your existing investments.

To do it the other way around is the worst of both worlds.
Posted by Big Scrub TX
Member since Dec 2013
33578 posts
Posted on 4/22/24 at 12:16 pm to
quote:

All of my new allocations have been going into VFVXX or SPRXX.
Why not USFR? It's as much as 75bps higher, depending on the week.
Posted by Warfox
B.R. Native (now in MA)
Member since Apr 2017
3154 posts
Posted on 4/27/24 at 10:29 am to
quote:

For my 401k, this is The Year of the Money Markets. All of my new allocations have been going into VFVXX or SPRXX. That said, I'm still holding my dividend stocks (since almost all of them reinvest).

I'm risk-averse so while some here were making good bank on the bulls earlier in the year, I was getting ready for what I believe is coming. That said, I'm not entirely convinced we're into the early stages of the shite yet (waiting to see Unemployment moving upward above 4% with momentum).


The shite is indeed coming, but when is the ?

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