Worldwide stockmarkets are tumbling as investors overseas think the U.S. is slowing, as we’ve lost our love for technology, as we’ve lost our faith in whatever.
In Japan, heavyweight trading houses such as Mitsubishi, Mitsui and Co, Sumitomo and Marubeni all plunged over 14%, with Mitsui losing almost 20% of its market cap. Pain
If I were in Japan (I’m not, I’m in Paris), I’d be buying these stocks hand over fist. What can possibly hurt the business of a huge trading house from one day to the next?
Ditto for tech stocks and the Munificent Seven. Neither Google, Amazon, Microsoft, Meta are suddenly going to stop buying Nvidia chips, computers, cloud equipment and data center stuff just because the stockmarket — in its presently heightened irrationality — is taking a hit.
The whole sell-off is insane.
None of this has stopped oodles of talking heads trying to figure it all out and give gratuitous advice. The New York Times says figure your risk and do some “rebalancing.” That means buy bonds.
The SEC (Securities and Exchange Commission) has gotten into the act:
“The process of determining which mix of assets to hold in your portfolio is a very personal one. The asset allocation that works best for you at any given point in your life will depend largely on your time horizon and your ability to tolerate risk.”
I have never figured out exactly what “risk” is. Nor what my “time horizon” is. Five years? Ten years? Twenty years (when I’ll be 102)?
I should know that tech is “risky?” Prone to big drops? But also prone to big rises — certainly far bigger than “safe, steady stocks, like Starbucks, Verizon, or Ford. Or the S&P 500.
Today I’d be buying more of the Magnificent Seven (especially Nvidia) — if I had spare cash sitting around. Which I don’t.
In short, the reasons for all this weakness are unknowable. Unless you know human emotion. None of us can figure that one.
In short, don’t panic.
The Financial Times has a neat educational piece on
What is artificial intelligence and how does it work?
Computers can be trained to carry out complex tasks once performed only by humans — and often at a higher speed or accuracy
Click here.
Paris Olympics
+ It’s 1000% better on TV. The stadiums are huge. Track and field has so much going on you can’t figure what’s going on. Tennis at Roland Garros is better, but lacks telephoto lenses and the instant replay of TV.
+ It’s hot and humid in Paris. Nothing is air conditioned — like buses and the subway (called the Metro). Yes, buses and the subway in Paris are not air conditioned. Heh, New York City’s are. Thank you Janno.
+ The “environment” says washing machines must be tiny (less than a a third the size of a decent LG machine back home) and take three and a half hours. Ditto for dryers.
+ Food? French cooking is good. How good? What counts are the freshness and the flavor of the ingredients. French and American produce is now equal (depending on the time of year). The best produce in the world is in Australia.
+ The nice parts of Paris are gorgeous. Walking around is a pleasure — except on Sundays and in August when everything is closed (like now). Except for restaurants, and tourist shops.
+ The museums are stunning. But getting in is not easy.
+ Everything works with an app (trains, taxis, buses, museums). You fill the app with your credit card and then only use your iPhone to get in. Try to buy something with cash, You’ll send the store clerk into paroxysms as he/she looks desperately for change. You do not want to walk around with heavy Euro coins in your pocket.
+ If you want to watch American TV, like YouTubeTV or Peacock, you need an VPN to put you in the states. I use Mullvad. Works like a charm.
Come when it’s cooler.
Olympic photos
Grandson Peter enjoying Krispy Cremes in the Metro, Sadly, Dunkin Donuts has only three locations in Paris. So why all the underground ads?
My view of the tennis at Roland Garros. 
French ingenuity. Coke is on sale everywhere — but no ice.
I’ll be back shortly. A lot poorer on paper. But marveling at the depths of how “Sh*t Happens.”
I’m guessing today will be our worst ever. Yuch. — Harry Newton
