b/c twitter will take up a lot of musk's limited time, at the expense of tesla
Biggest risk is Musk’s Twitter loans secured by Tesla stock. I assume it would function like a margin account, so a ~30% drop in the stock would trigger sales. Not an unlikely occurrences.
Nope, I moved out of that a while ago. The marginal protective benefit didn't seem worth the stress of watching it swing up and down.
My exposure to US markets now is a very small holding in VOO, and that's how I'm protecting against the expected downside, rather than trying to gamble on a short position. I think US markets are likely to tumble quite a bit further, but they could also see-saw drunkenly about, or else reverse course. My current plan is to hold pat for a while and see where the dust settles, and either stay cash-heavy or else find a time when things seem about right for an eventual re-entry.
We are in active family discussions about when to retire (soon, one way another, only question is precisely how soon), and I don't want to be throwing money away on speculative bets either way.
Nope, I moved out of that a while ago. The marginal protective benefit didn't seem worth the stress of watching it swing up and down.
My exposure to US markets now is a very small holding in VOO, and that's how I'm protecting against the expected downside, rather than trying to gamble on a short position. I think US markets are likely to tumble quite a bit further, but they could also see-saw drunkenly about, or else reverse course. My current plan is to hold pat for a while and see where the dust settles, and either stay cash-heavy or else find a time when things seem about right for an eventual re-entry.
We are in active family discussions about when to retire (soon, one way another, only question is precisely how soon), and I don't want to be throwing money away on speculative bets either way.
I think that is very wise. I used similar reasoning, albeit a little too soon. Though so far it has worked out fine, and any missed opportunities will always be available in the future.
4th biggest weight in the SP500 down 10%. This market-weighted stuff is great until it isn't.
Market is saying musk is bored with electic cars and wants to move into thoughts and ideas with twitter. Without Musk's full attention will Tesla start slipping?
Didn't happen when Jobs died, but small samples here.
U.S. equities today are all down. U.S. 10 year Note and U.S. 10 year Bond are up. Yields and bonds have an inverse relationship. With likely flight to safety, less of a need for U.S. Treasury in weeks ahead to buy as many Notes & Bonds on open market.
Even at 600, cash purchase only. Not on margin. Certainly not on secret leverage such as bank line of credit or credit card cash advance. One often gets burned fighting Wall Street investor analysts. I read Tesla as a consensus HOLD. HOLD is whisper to sell.
4th biggest weight in the SP500 down 10%. This market-weighted stuff is great until it isn't.
Market is saying musk is bored with electic cars and wants to move into thoughts and ideas with twitter. Without Musk's full attention will Tesla start slipping?
Didn't happen when Jobs died, but small samples here.
Tesla is perhaps even more cultish than Apple. It's the biggest Meme stock ever and if Elon does put his energy elsewhere so many fanboys will follow. I think the company is great but the hype is also off-the-chart bonkers.
I know everything is getting whacked today but considering Tesla blew earnings out of the water just last week and is still getting destroyed way more than anything else is potentially ominous.