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Mellow today. Diversification tomorrow. An obvious short?

I’m into mellow today. No freneticism. No freneticism to make stupid decisions.

+ From CNBC.com:

  If the coronavirus lockdown has frozen your investing plans, you’re in good company. Charlie Munger is watching and waiting, too.

  Mr. Munger, vice chairman of Berkshire Hathaway Inc. and Warren Buffett’s longtime business partner, likes to say that one of the keys to great investing results is “sitting on your ass.” That means doing nothing the vast majority of the time, but buying with “aggression” when bargains abound.

  I spoke this week by phone with Mr. Munger, who turned 96 years old on Jan. 1. He sounded as sharp and vigorous as ever, and as usual he drew bright lines between what he’s fairly certain of and what he thinks belongs in the “too-hard pile”-where he and Mr. Buffett consign questions they don’t know how to answer.

  Overall, Mr. Munger made it clear that he regards this as a time for caution rather than action.

On CNBC this morning, Roger McNamee, 64, talked about his preferred portfolio — treasuries and tech stocks.

J.P,Morgan did a webcast yesterday with billionaire Ray Dalio. His conclusion for today’s uncertain times — extensive diversification, which coincidentally is what I wrote yesterday as my “brilliant” 5-part going forward strategy:

  + Stock prices are largely over-priced — based on standard value theories of earnings, growth, dividends, etc. Hence few bargains left, though I continue to look.

  + Stock prices today are based on several things — heavy emotion, “hot” areas (like stray-at-home stocks). Emotions can evaporate from one moment to another, as they did in late February/early March.

  + When things are uncertain (as of now), my “strategy” is called diversification and be opportunistic. Hold lots of cash to be able to pounce, if something good comes along.

  + Wear a mask. Stay distant. Wash your hands. Don’t touch your face. The usual stuff.

  + Stay normal. Stop panicking. Stop freaking out. Do what I can for the family. Play oodles of tennis. Don’t get too fat.

How can this NOT be a Cockroach Stock?

And a great short.

Tyson Foods – the big meat packing plant company that’s infecting and killing its poor workers.

My historic Cherry Blossom tree

Yesterday I reported I was planting a tree to mark the Spring 2020 debut of the coronavirus and all we are going through.

Reader Ron Manuel emailed me:

True story: My uncle retired to North Carolina and built a home. He heard the US Forest Service was giving away trees. He wanted about 100. He knew someone who was a long-haul trucker and borrowed his big rig to go to the Forest Service. When he got there and asked for his trees, they handed him a medium-sized plastic bag with 100 trees inside.

Why do I relate to this wonderful story?

Festering repairs

Yesterday we switched our 16-year old water filtration plant. Now we have clean water.

The cure for all diseases

It’s not the cure for all diseases. But a glass of water sure works wonders.

Then another glass.

Favorite Claire and Sophie photos. 35 years apart.

Claire, left, is my daughter. Sophie is Claire’s daughter, my granddaughter.

 

I suspect I won’t be around for Sophie’s daughter to complete the trilogy. Though if she marries at at 12, I’d only have to wait another 12 years — when I’ll be 89. I could do it. Will Sophie?

See you

 

  • Dman

    Harry, Currently on YouTube is Michael Moore’s new film “Planet Of The Humans” in full. I encourage you to watch it.

    https://www.youtube.com/watch?v=Zk11vI-7czE

  • Mike Nash

    I don’t wear a mask – ever. This is still a free country right? Or have Hillary and the libtards taken over? Keep wearing your mask, snowflake. They look stupid. MAGA!

    • Rudolph C Will

      Wearing a mask is about “rights” you are not actually giving up anything…its actually a selfless action that can save lives.

  • Franz Kote

    Harry Newton: 8.:30 AM EST Tuesday, May 6, 2008: “I said oil was going to $100. Now I say it’s going to $200.”

  • Dman

    Paul Krugman is a Pedophile.

  • Scooter

    Harry

    It’s not necessarily the company that is infecting the workers.
    In the area where I live the meat packing plants are staffed with people that live in homes with 15-20 others. It’s not contact in the workplace, but contact with the amount of people in their home.

    We were told by the Fauci experts that the reason we were locking down the country was to lower the risk of hospitals being overrun with patients, and that everyone who is going to get the virus will eventually get it anyway.
    For some reason, that narrative has changed and now we are still in lock-down trying to save lives but desstroying the economy.

    So, what’s up with that?