by Robert Holman | www.DefensiveAdvisor.com
STOCK MARKET RATING (THE BIG PICTURE) … 6.5 (1-4 bearish, 5 neutral, 6-9 bullish). We have entered a bullish phase with Fed Chairman Powell acknowledging that a monetary policy shift is ahead which will lead to multiple interest rate cuts in 2024.
The main story of the last two years has been the Federal Reserve and its interest rate policy. Recently, the market has responded rapidly to the discussion of interest rate cuts somewhere down the line, assumedly this year.
The restraint I’ve shown in being bullish (6.5 rating is bullish, but not extremely so) is paying off as the market responded perhaps too enthusiastically to the Fed news. We are at something of a short-term technical top at a point of investor concern. Money has not yet started it’s upcoming massive reversal - coming out of money market funds, T-bills and short term interest rate vehicles and back into stocks.
As the market dips, we are getting an opportunity to buy at better prices.
MAY BE OF SOME INTEREST: Pretty and 'affordable' US island with 73F winter sun and beautiful beaches (msn.com)
PORTFOLIOS … After reading this report, if you are not sure what to do to take advantage of these conditions, you may go to: www.defensiveadvisor.com/contact to send me a secure email, and I’ll reply with the information you need.
TO MY CLIENTS … THANK YOU FOR YOUR TRUST. We’ve had great success since we started this RIA in mid-2018 and are doing better than the market since that period.
Learn from the Bible: Proverbs 15:22 MSG - Refuse good advice and watch your plans fail; take good counsel and watch your plans succeed.
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Opinions in this post are for general information only. They are not intended to provide specific advice to, or recommendations for, any individual without our complete knowledge of that individual’s total financial profile. No strategy assures success or protects against loss. Past performance does not guarantee future results.