Newspaper Page Text
Financial
Focus
Reported by Sonny Doehring
How should you respond to market "dips"?
You already know that stock pric
es can take sudden “dips.” But do
you know what causes them? And,
just as importantly, is there any
way you can take advantage of these
drops?
Let’s answer these questions one
by one. First, what causes the stock
market to fall quickly?
Actually, the “suddenness” of a
market decline may often be mis
leading, because the forces that
cause markets to fall (or rise) may be
in place for weeks or months before
prices move noticeably. Here are
some of these key “change agents”:
• Investors’ actions — Individu
al and institutional investors can,
by their actions, move the price of
stocks. For example, if many people
think a particular stock is “hot,”
they will buy it, and this increased
demand helps drive up the price.
Conversely, if investors decide that
a company is in trouble or that it
is part of an industry in decline, or
even that it’s time to take profits,
they will sell the stock, creating
downward pressure on its price.
• Business fundamentals — A
company’s earnings, profit margins,
management and competitiveness
can affect its desirability to investors
and, as a result, its stock price.
• Legal changes and regulatory
decisions — When Congress passes
a law or a government regulatory
agency makes an important decision,
the result can have a big effect on the
fortunes of a company — and, conse
quently, its stock price. Decisions by
the Federal Reserve to change inter
est rates also can affect the financial
markets and individual stock prices.
• Economic indicators — When
economic activity — as measured by
the gross national product — slows,
unemployment increases and infla
tion rises, investors may get nervous
and pull back from the markets,
leading to a drop in stock prices.
• International events — Political
instability, wars, natural disasters
and other events can all disrupt the
financial markets and cause stock
prices to fall.
It’s very hard for most people to
follow these events closely enough,
and respond to them quickly enough,
to take advantage of market drops by
buying stocks whose price has fall
en. Furthermore, although it would
be great to always “buy low and
sell high,” it’s impossible to predict
when a stock has fallen to its lowest
point. Consequently, you could end
up wasting a lot of time, energy and
worry by trying to “buy on the dip.”
Moreover, if you were to constant
ly buy stocks just because their pric
es had dropped, you may well end up
owning a lot of investments that are
not really suitable for your individual
needs, goals, risk tolerance and time
horizon. You would be better off pur
chasing an appropriate mix of qual
ity investments, holding them for the
long term and making adjustments
only when your situation changes or
when the investments themselves
have altered in a way that’s not posi
tive for you.
Ultimately, it’s a good idea to stay
informed about the various forces
that affect stock prices. The more
you know, the less surprised you’ll
be when the market goes up or down.
But if you want to truly succeed as
an investor, you should avoid short
term decisions based on external
forces. While “dips” may be tempt
ing, they can also lead to “slips.” □
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THE ISLANDER, AUGUST 11, 2008, PAGE 3
Business Upda
Ga DOL helps workers laid-off at
Sea Island Company
State Labor Commissioner Michael
Thurmond announced last week that
the Georgia Department of Labor is cur
rently providing assistance to employ
ees who are being laid-off at the Sea
Island Company.
Staff members of the department’s
Brunswick Career Center began on
Monday, August 4, providing on-site
employment-related services to the
company, including taking unemploy
ment insurance claims filed by the laid-
off workers.
“The layoff at the Sea Island Com
pany is creating a difficult situation
for the workers and their families,”
said Commissioner Thurmond, “and I
want them to know they’re not alone in
dealing with this problem. Staff from
our Brunswick Career Center are on
site helping the affected employees
file claims for unemployment insur
ance benefits and will immediately help
them begin finding new jobs.”
Thurmond said the labor department
provides a wide range of transitional ser
vices to laid-off workers. These options
include: on-site employee information
sessions describing services avail
able through the Georgia Department
of Labor, assistance in filing claims
for unemployment compensation, re
employment services, access to retrain
ing opportunities, skills assessment
and correlation with available employ
ment opportunities, special workshops
on career options and resume writing
and interviewing skills.
The Georgia Department of Labor
conducts job search workshops, career
counseling, and provides resource cen
ters in each office. Some job seekers
may also be eligible for occupation
al/skills training, on-the-job training,
General Education Development (GED)
preparation and testing, and supportive
services such as child-care assistance,
transportation assistance and meals
while enrolled in full-time training.
The number of jobs in the hospital
ity, real estate, and construction indus
tries in Georgia is down compared to
the same time one year ago. Statewide,
the number of the hotel and accom
modations industry is down 2.6%; in
real estate, the number of jobs is down
eight-tenths of a percent, while in hous
ing and construction it is down 3.7%.
Glynn County is served by the
department’s Brunswick Career Cen
ter, located at 2517 Tara Lane in Bruns
wick. The telephone number is (912)
264-7244. However, affected workers
may get assistance from any of the
department’s 53 career centers state
wide. □
Port of Brunswick
breaks new record
The Port of Brunswick posted its
most successful year in the movement
of bulk cargoes. Georgia Ports Author
ity handled more than 800,000 tons
of bulk cargoes at the Colonel’s Island
Breakbulk Facility, an 85.6% increase.
GPA Chairman of the Board Steve
Green announced that GPA handled
more than 2.6 million TEUs (Twenty-
foot Equivalent Unit containers) in fis
cal year 2008, a 14.9% increase, setting
a record for containers handled at the
Port of Savannah.
The GPA’s total tonnage for all ter
minal facilities, including Bainbridge,
Brunswick, Columbus and Savannah
surpassed 25.8 million tons, a 17.5%
increase, also a record. □
Brunswick Family Dental
Ivan Goldner D.M.D.
"WHY REMOVE IMPACTED TEETH?"
An impacted tooth is one that has not erupted
through the gum (or only partly through the gum. )
More often than not, the honors go to "wisdom
teeth." These third molars generally erupt during
the teen years. They often grow forward and push
against the adjacent molars causing pain and
tissue discomfort.
Aside from possibly damaging other teeth,
impacted third molars can cause other problems.
A cyst can grown, possibly unnoticed, and damage
adjacent teeth, the jaw bone and nerves.
Your dentist can study x-rays of the teeth and jaws, and can frequently
tell by the teen years if the wisdom teeth are going to be impacted. At
this stage, the wisdom teeth are less complicated to remove and healing
is generally faster.
Unfortunately, impacted teeth can be "dormant" for years, but
then cause trouble and pain at an unexpected or inconvenient time.
That's why most dentists recommend x-ray and evaluation of potential
problems. Removal of impacted teeth to prevent future problems can be
considered preventive dentistry.
Prepared as a public service to promote better dental health
from the office of Ivan Goldner, D.M.D.
159 Altama Connector (across from Wal-Mart) • Phone (912) 264-8408
Go to www.howarddentalgroup.com for new patient discounts