Kansas City, Missouri (AP) – When the retired school advisor, Don Herneisen, meets with friends every week for breakfast in a restaurant in the wall, the conversation often turns to the economy. With financial markets stirring like President Donald Trump revealed his Last prices This week, the popularity of this subject It is unlikely to change anytime soon.
“There is political uncertainty, there is an economic uncertainty, and if you are retired, you do not like uncertainty at this stage,” said Herneisen, 77, when he and his wife stopped at Union Station in Kansas City, Missouri, Friday visiting his family.
Stock markets around the world have said it even lower on Friday China corresponded Trump great increase in prices in a Climbing a trade war. New radical rates, above Previous samples and reprisals worldwide should also increase Price of everyday items.
Herneisen, who lives in Lancaster, Pennsylvania, and his wife, Cathy Herneisen, a retired worker from Verizon aged 74, live on a mixture of pension, social security and an individual retirement account, or Ira. He said that for the moment, they are not overlapping, but his wife said that even holding regularly means reducing.
“The prices are higher, but I still spend the same money summit,” she said. “I stick to the budget of the grocery store, which means that I reduce the prepared foods, so I buy the products themselves, so it hurts people who run a small business that sells their prefabricated food.”
They live in a republican district of the state of Swing, but neither of them for Trump, who said that the Americans could feel “Some pains” Due to prices, but that long-term objectives, including the return of more manufacturing jobs to the United States, are worth it.
Chad Nesmith, portfolio director at Tobias Financial Advisors à Plantation, Florida, just outside Fort Lauderdale, said that they had traveled customer calls for a few days and that calls increased on Friday.
“Fear is really resuming, especially since we have the reprisal rate from China,” he said.
Nesmith said most customers just had general questions, checking what they should do with their wallets. “We take it on a call base,” he said.
Nesmith said retirees generally have a little less risk in their portfolios and that obligations have performed well in volatility.
“The general theme that we really put in place is that you must really be aware of your risk tolerance and your financial plan, and you had to do this in this way of browsing this volatility that we see at the moment,” he said.
Colleen Power, a 57 year old pay specialist from Kansas City, Missouri, hopes the market will recover before she retires.
“We have our business located in a way that we will probably survive,” she said. “Now, in general, yes, I am really worried about the country. But I mean, at a personal level, I do not have much stress on this subject.”
But power, a democrat, nevertheless finds the situation frustrating. “None of this is in no way surprising at any level, in any way, and all I can do is do my best in my region and hope the best,” she said.
Paul Brahim, advisor to the Wealth Enhancement Group in Pittsburgh, said: “Uncertainty is frightening, not knowing how to frighten and people ask the same question all the time:” Will I go well? ” »»
He said that for a recent retiree who has not yet started taking social security and who lives cash flows from assets, looking at this value decreasing in a few days is “scary”.
But, he said, if they have prepared well, there should be reserves in place. “We should have money in reserve that we can use while we allow this portfolio to heal,” he said.
Brahim, president of the Financial Planning Association, an organization of membership for certified financial planners, said that most of its customers had largely diverse portfolios and, rethinking last year, they had positive yields. “It’s good to just put it in perspective, it helps fear,” he said.
“I think it is important that we were breathing and that we stopped by uncertainty before making adjustments to our wallet,” he said. “Let the dust deposit.”
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Stengle contributed to this story of Dallas.
