What to do with this recession?

Like most people I have strong emotions concerning investments. At times those emotions get in the way of sound financial decisions, but lately I have noticed that I am wired a bit differently than others I have spoken with.

Anyone who knows me or has read previous posts may have noticed that I am not exactly fearful of the current market. I have even been known to sound jubilant from time to time over the past 8 months. Much of that comes from the fact that the only significant money I have in the market has been invested in the past 8 months. I might feel differently had I owned bank stock that was worth $250,000 just 18 months ago and is now down to $25,000. I do have a little over $1,000 of that same stock that I have watched fall from $10,000. It is also true that I have a well-paying job in a very secure field. With those things in mind it isn't too hard to see why I don't get down when I see the Dow fall to record lows each day.

Many people have cut back on their purchases with the dwindling economy. I think a lot of sacrifice has been made across the board and I am no exception to that, but my thinking on the matter is different. I have not cut back because I have to (I have more income now than at any previous time in my life) but because I want to. I recently got a sizeable tax rebate (thank you Mr President) and initially I thought about using that money to buy a truck. I have always wanted a truck and they are selling for cheap now. I didn't buy a truck I put all that money in stocks (Microsoft, Berkshire, Apple, Nike and Wells Fargo). I still want a truck but when the market is as low as it is now I just can't afford to pass up these opportunities.

Eventually we will come out of this recession. When we do there will be a lot of Americans that are very scared of the stock market. I hope we get back to some basic values of thrift and saving as a nation and get rid of some of our debt. Whether or not that happens, now is the time to position yourself for the future. There has never been a time in my life that has presented more opportunities for those with some money to invest. As I've said before I don't know if the market has hit a bottom or when it will, but I do believe that enormous gains will be made by those who are investing for the long term today, however, if you can't handle watching another 50% drop in money you invest today you might want to close your eyes.