Did you see what happened to the DOW today? It dropped… no, plummeted… another 679 points by the closing bell.
If it’s not clear by now, it should be: This is no ordinary market correction.
Just look at the numbers. From August 11, 2008 through October 9, 2008, the DOW has shed 3,155 points. That’s a 26.89% loss in only two brief months.
No, it’s not a correction — it’s a shakedown.
Reminds me of some lyrics from a Tree63 song on their latest album, Sunday. They sing, “What God makes, God will shake, but his throne will be there still.”
At this point, I think we can safely make the argument that paying off debt will give you a better return on your money than investing it in the stock market.
If you pay off debt, you’ll get a guaranteed R.O.I. of whatever your interest rate is. And if you have one of those “normal” interest rates, you might be able to lock in 25% or more… automatically!
On the other hand, throw some money in the stock market and you might wind up with nothing. Here’s a picture that says it all:
==> If You Bought $1,000 Worth of Stock a Year Ago
As they say, a picture is worth a thousand words. And this one could be worth $1,000 as well.
Do you have debt? Now would be a great time to start paying it off.
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