Down 291 (DJIA) and 90 (Nasdaq)! I love down-markets when I'm sitting on cash! Sorry if you missed a buying opportunity; even more sorry if you sold! Looks like the markets will remain volatile while the news-watchers panic or revel in ecstasy. We can expect large swings on ANY rumbling of bad news. Forget Apple's 38% increase in profits announced after hours, or Yahoo's spinoff of their investment in Alibaba raking in mucho $$. Focus on the news report that retailer will be hurt by "misdiagnosed" historical blizzard (see Frank Pallota's article here)! Aren't you getting a huge "tax" benefit from lower oil prices? Plus, the America is mostly an oil IMPORTER, so low prices are good for us and do NOT hurt the major companies a lot. I look forward to a lot of smaller oil companies and servicers to be snapped up by the larger competitors. Won't necessarily be bad for the investors AND consumers.
The copper prices still indicate the WORLD economy has not turned positive. All commodities are taking a hit while the Dollar continues its dominance. This won't last forever. Yet, other countries and EU are still initiating QE plans. I expect the Dollar to remain strong, world inflation rates to remain chaotic, Emerging Markets to remain weak. Meanwhile, America prospers despite more expensive exports. Imports will continue to decrease and help you and me (I'm a Walmart shopper) even more.
What we need is wage increases. This will come, but I'm afraid not before the Fed makes a move to higher interest rates. And that is being held back due to the World QE measures. As long as lower products are available, increased wages become a non-issue. Gotta be careful what you ask for.
I see the 2015 markets doing ok through maybe end of May. I think I'll become more defensive for the summer and fall. Have no clue yet what winter will bring, but, "Winter is coming."
Suggestions: Get some $$ working for you NOW.
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