I want to thank you for reading these pages. It is my honor to have the privilege of writing my thoughts about the markets for you. I am thankful that hundreds of thousands of you care enough about your investments to have an interest in those thoughts from time to time. I know that my message has not been an easy one to digest, certainly not as easy as that tiny plate of turkey, stuffing, and cranberry sauce you had on Thursday afternoon!
Meanwhile, the stock market has finally begun to confirm what macro liquidity analysis has been telling us for many months. You MUST preserve your capital! But while you’re doing that, there are always ways to profit from the markets regardless of their direction,
The rise in these rates means that money is still tightening. Bonds may be a buy when rates start falling, but stocks usually continue to decline in the first months after the Fed starts to loosen and interest rates start falling. Technical analysis of the stock market averages will tell us when it’s safe to buy again.
Meanwhile, my colleague Shah Gilani has been great at showing his subscribers how to profit in down markets. Click here to learn about his service.
I hope you had a great holiday! I enjoyed a few days off in London, and am now in Nice, France. I’ll see you from here through the holidays.