The market tanks on Monday following an escalation of Fed policy into "QE Infinity" as Congress balks at getting Fiscal stimulus passed. The good news is the first phase of the bear market is getting exhausted and a set for a reflexive bounce is near.
CNBC recently suggested that if you panic sell you could well miss the "best days" of the market. But is that what you should really worry about? We examine the myth of the 10-best days and look at a strategy to invest better.
Here is what you might have missed from the RIA Crew last week. A compilation of our best blogs, newsletter, podcasts, the daily radio show and commentary from RIAPRO.NET.
Many investors are salivating to trade the dips in a stock market which is becoming increasingly more volatile. It’s because Wall Street for the week ended March 13th according to the headlines had its worst week since 2008. Its human nature to want to buy at fire sale prices.
The Federal Reserve is throwing the kitchen sink at trying to save the bond market as unemployment is set to explode to the highest levels since the Financial Crisis.
Short term pragmatic solutions always seem to be the answer to crisis. Now in a fresh crisis, the Fed once again has no capacity to look beyond the crisis to the consequences of their actions.
With a global recession underway, there are too many uncontrollable risks currently to maintain high levels of equity exposures. With the long-term bull trend now broken, cash is king.
"Will it get worse before it gets better? Lance Roberts, chief investment strategist with RIA Advisors, explains how the COVID-19 coronavirus is impacting our economy."
Will the Federal Reserve's influx of liquidity revive the bulls "animal spirits?" Maybe, but it likely won't "cure" what ails the market. However, the Federal Reserve, and Central Banks globally, are not going to quietly into the night. Expect more stimulus, more liquidity, and more rate cuts. If that doesn't work, expect more until it does.