My regular readers will remember last week I asked, “What is the Bottom in Stocks” and I pointed out we just will not know what the bottom is until six months afterwards, and I was proven right again yesterday, when I (eternal pessimist) thought there was no way things could drop any lower, yet they did. Canadian financial stocks (banks and financial folks) took a hell of a pounding again, and now I am not even sure why, but TD and BMO both took hits again.
TD’s drop actually had a minuscule basis in fact as their Ameritrade division announced some fairly neutral numbers, but the whole TSX went “Financial Apocalypse” for the last 45 minutes of trading and a great deal of losses were incurred in that sure time frame (stock value losses I mean).
I keep wondering is this the bottom, but as I have said, we will only know in six months time.
Financial Impact on Me
My RRSP’s continue to drop in value (I haven’t looked really, but am glad it is Dividend time since my DRIPs (Dividend Reinvestment Plan) on most of my stocks will be kicking in and I will be buying some very cheap stock with it). I also continue to collect up old investment vehicles into a single set of investment devices, which are now fairly heavy in cash, which is a good thing, now the only question is when and what to buy, and I continue to “waffle” on what that decision might be.
E.I. Not For You
Got a call yesterday from a lady at the Employment Insurance office asking me a bunch of questions about my severance package and how it had been implemented. She was new on her job, so she and I fumbled around a few questions and I think it has been straightened out for now, but this did bring up an interesting point, which is that you MUST apply for E.I. when you are laid off, not when you think you need it. If you don’t apply right away, you may be disallowed your claim for taking too long to fill in the correct documentation.
At the end of the conversation the nice lady mentioned that I will not be eligible to get E.I. for about a year (the length of my severance package in their calculations). This didn’t surprise me, but I know for sure now that someone at the E.I. office has said it to me out loud.
Evidently Ottawa will be the victim of a Weather Bomb in the next day or so. Before you start thinking that the folks at Environment Canada have created a Weapon of Mass Destruction that will cause huge storms, that is not what the term means, it is a real Weather Forecaster term to describe a quick and large drop in the Barometric Pressure which is usually part of a severe storm system.
What does this have to do with Personal Finance? Everything!
- With 15-30 centimeters of snow coming Do You Have Your Snow Tires On? I don’t! If you live in Quebec, remember you need to have them on, it is the law now.
- Do you have enough food at home in case it is hard to get out in the next day or so?
- Is your furnace in good working order?
- What if the power goes off, have any wood in for your fireplace?
- Does your snow-blower work? Does it have any gas?
All of those points either cost money, or are going to cost you money if they aren’t dealt with, so keep this in mind, with the coming of “Old Man Winter”.