LIers react to market's 13,000 milestone

Sabrina Hannam, of Hewlett, thinks the economy is

Sabrina Hannam, of Hewlett, thinks the economy is coming back across the board.

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The Dow Jones industrial average closed above 13,000 Tuesday, returning the market to a perch it last occupied in May 2008, about four months before the worst financial crisis since the Depression reached its climax. On Long Island, some people celebrated the milestone, some worried the recovery is bypassing the region and some said it had little meaning for them.

Sabrina Hannam, 33, Hewlett, lawyer

"At least I know my stocks are going to get better now, but I always know there is a chance things will go down," said Hannam. "Being a younger investor, I had the luxury of time to wait it out until the market turned. So I was able to buy at a good time, and even when the market went down, I waited it out." She believes that the market's rise is a sign that both the U.S. and Long Island economy are on the mend. "I definitely think the economy is coming back across the board."

-- Carrie Mason-Draffen

 

Bernard Cohen, 68, Great Neck, retired adult vocational counselor

"To me it's basically like we're back." At 13,000, "I would say, it's a pretty fair market." His investments have almost fully recovered from recession lows, he said. "I didn't leave the market." As for the Long Island economy, however, "We're not out of the woods," he said. "Home prices have been down. Taxes are still high. And there is still a lot of unemployment on Long Island."

-- Carrie Mason-Draffen

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Shelly Newman, Commack, certified financial planner at securities firm Edward Jones

Newman said the Dow milestone is insignificant because "it is just a number. It represents only 30 stocks, whereas the S&P (Standard & Poor's 500) is a broader index." People who sold at the bottom in 2009 and didn't get back in "have missed the run-up to get back to where they were. That is one of the biggest mistakes you can make in investing. Markets are cyclical; so you really can't time the market."

-- Carrie Mason-Draffen

 

Ernest Gonzalez, Valley Stream, chief executive, chemical distributor Captree Puretech Solutions

The Dow's 13,000 milestone shows that the U.S. economy "seems to be moving forward a little bit," he said. "I shifted out of bonds into equity about a year ago. I've seen tremendous improvement in the equity positions." He invests in the pharmaceutical and food industries "because people need drugs and food products." His euphoria over the stock market doesn't extend to the Long Island economy. "I think it's down. They need to give some incentives to manufacturers to come here."

-- Carrie Mason-Draffen

 

Vinnie DiMaggio, 61, Medford, unemployed salesman

The fluctuations of the stock market don't mean much to Vinnie DiMaggio, whose 401(k) took a hit in the 1980s and never quite recovered. Last year, DiMaggio, who is looking for work, and his wife, Cheryl, decided to invest about $22,000 they received in legal settlements in a new kitchen.

"When you are putting money in the stock market, it's like betting on a horse," said DiMaggio, who spent many years in sales. "At least with that kitchen, I know that's going to increase the value at least 10 percent on the house."

The Dow's performance doesn't reflect the weak job market, he said."People are still unemployed."

-- Keiko Morris

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