In this episode we will answer the questions: What is the impact of negative interest rates, why the US markets rallied on Friday, why we are not buying into equities, and who do we think will come out on top in the Iowa presidential caucuses?
In today’s video blog you can hear (or read) about the many reasons you cannot trust last week’s market rally. Short covering, international quantitative easing, and investors’ false hope in the Fed caused this artificial growth. We will tell you about an indicator coming out this week which can tell investors if we really have a healthy market or not. In a bear market, it is all about capital preservation. We discuss the issues that will determine how we react to this market.
We believe it is possible to have a bear market without a recession. The US is not really in a weak economic position. That does not mean that the stock market cannot go down. The markets can be a reflection of things to come and… (more in the video)
There is a new meaning to the expression “Made in China” as we see the impact of the Chinese stock market. Last week the markets started off on the wrong foot with both the Dow and the S&P 500 ended down 6%. That’s the worst start for the Dow ever, and the worst for the S&P 500 since 1927. China halted their trading twice last week and oil continued to plummet. The good news was the jobs report which beat expectations.
Today we are discussing the rippling effects of 2015 and the “What Ifs” of 2016 that could impact the markets in 2016 and your portfolio this year.
2016 is looking like it will possibly be another year of market uncertainty. The Fed has said it will raise interest rates four times but the market is only pricing in two. That shows a lot of uncertainty.