Dave Ramsey Reacts To Potential Stock Market Crash!
Transcript
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for those of you that are as old as me
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you remember this when we were kids we
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used to have these things called service
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stations they’re different than gas
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stations because someone would actually
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come out to your car and pump your gas
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for you and I distinctly remember on
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Nolensville Road the main drag right
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down from our home that there was a
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service station on three different
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corners of a possible four corner
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intersection three of them competing
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with each other occasionally a sign
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would go up that would say gas war if
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you’re old you remember gas Wars your
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local gas stations would compete with
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each other and one of them would drop
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the price and all that everybody would
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go over there the other one will drop
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the price more and everybody would go
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over there and the other one drop the
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price more and they’d all go over there
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and these is competition in the
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marketplace without government
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intervention drove the prices down until
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the guys got tired of it and then they
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just kind of raised all the prices back
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up but we’d go through a period of time
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that this head-to-head competition
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caused a gas war and it was competition
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and it was turned out to be good for us
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because we didn’t have a lot of money
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and we could put gas in our tank because
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it was cheaper well guess what Russia
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and the Middle East have decided to have
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an oil war not a war where they’re
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shooting each other but where they’re
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driving the price of oil down
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dramatically it’s dropped 33% over the
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weekend now you know those gas stations
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I was talking about when they dropped
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their prices everybody help me with this
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do they make more money or less money
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with lower prices they made less money
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okay everybody knows this right their
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profits went down didn’t it but they got
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customers and they got to stay in
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business by competing so guess what
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happens when the price of oil goes down
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two guys like Chevron and Exxon people
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like that their profits go down because
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the price of their barrel of oil went
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down that they’re sucking out of the
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ground
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you
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you know that means you’re about to get
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some cheap gas in the coming weeks for
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your car right people if oil drops 33%
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do you know I think it’s going to affect
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your dadgum get price at the pump yes it
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will okay because the gas war will are
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the oil war which gas has made out of
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oil will turn into a gas war at the pump
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around here it won’t have a little sign
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up that says gas war it’s probably
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politically incorrect you probably get
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put in jail but end of the day is you
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guys are gonna get some cheap gas
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because this is driven down now it’s is
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it you think it’s gonna stay down no no
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more than the gas war between the gas
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stations continued forever it’s not
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going to stay down and so Exxon is going
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to survive and Chevron is going to
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survive and BP is going to survive and
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Halliburton is going to survive
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everybody that all these oil stocks that
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are driven by profit in the oil business
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but guess what they’re part of the Dow
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Jones Industrial Average and when their
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profits go away to the tune of 33% over
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the weekend guess what their stock price
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does it goes down oh let’s mix that with
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all of you people have completely lost
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your mind
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over the coronavirus and everybody’s
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scared out of their brains and can’t
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even think clearly now oh and now we
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have a wonderful buying opportunity on
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the stock market today the stock market
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is tanked based on this oil war and the
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coronavirus now let me help you with
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this my friend art Laffer who is one of
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the leading economists in the world
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without a doubt has a great saying he
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says people don’t make good decisions
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when they’re drunk and they don’t make
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good decisions when they’re panicked if
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you’re thinking about pulling your money
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on the stock market because you think
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the coronavirus is going to destroy the
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US economy you are a panicked fool
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you’re a fool Southwest airs stock
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prices down 30% do you think Southwest
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air has lost 30% of its value because of
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the coronavirus in reality I mean learn
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to do a little basic math here that
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means that throughout the next five
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years there
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on their planes would have to be down
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30% for them to have permanently lost
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30% of their value that’s asinine you’re
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panicked or you’re drunk I don’t know
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which it is or both
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that’s ridiculous and so the stock
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market going down is as artificial as it
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can be it is based on drunk people panic
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people in an oil war and that’s what
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it’s based on this is the best buying
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opportunity in 10 or 15 years on the
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stock market today because these numbers
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are down artificially these companies
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have not lost all of this money they’ve
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not lost all of this value do you think
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Cruise Lines dropped 40% in value over
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the last 16 days come on I’m dumb are
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you okay listen here’s the deal
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40,000 people will die of car wrecks
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this year in the u.s. 14,000 people have
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died of the flu so far in the US and
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around 40,000 will die of the flu this
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year in the US 22 people have died of
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the corona virus and yet you cannot find
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a bottle of that hand-washing stuff
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anywhere in any store in America today
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you would think the stuff was gold if
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you got a case of it you ought to put it
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on eBay overnight because some panicked
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fool will pay you $8,000 an ounce for
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that stuff in it people have lost their
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minds if you lost their minds and I
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don’t want the corona virus and I don’t
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want you to die the corona virus and I
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don’t want you to die the flu I don’t
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want you to die in a car wreck I don’t
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want anybody die I want everybody to
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live have a good life I’m here for you
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but you’re sacrificing your entire
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freaking retirement because you’re
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panicked because you watch too much news
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you need to turn off the news you need
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turn off let me tell you the level of
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anxiety you have is directly tied to the
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number of hours a day you spend watching
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news if you just turn it off and open up
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your Bible my friend Zig Ziglar
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say I read the newspaper every morning
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and I read the Bible every morning so I
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can tell what both sides are doing and
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you know I tell you what you’re just
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gonna have to think people when you’re
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drunk and when you’re panicked you don’t
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make good decisions usually as soon as I
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get really really scared right after
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that I get really really desperate and I
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get riot right after that really really
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stupid and cashing out your retirement
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account or stopping your investing or
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bailing on your 401k because you’ve
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watched too much news is absolutely
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asinine do not do that as a matter of
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fact if you’ve got some extra money it’s
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a good week to put some money in I don’t
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believe in market timing I don’t have a
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single dollar allocated in my personal
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budget for timing the market so all of
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my purchases of mutual funds are on
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autopilot they just go when they go but
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I’m kind of regretting that right this
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second because man I could turn a
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million dollars into two million so fast
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right now thank you to Russia and thank
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you to the Middle East for driving the
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oil prices down because I’m gonna get a
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cheap tank of gas from my big butt
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Raptor pretty soon out of you people and
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I’m gonna grin all the way to the bank
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when this stock market comes right
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straight back up and the rest of your
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standing on the sidelines going I lost
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half my retirement because you panicked