The S&P 500 turned flat for 2020 this morning. It also hit a 10 percent pullback from its most recent high. That’s a term known as a correction, and usually occurs once or twice a year. That’s in stark contrast to March’s selloff, which was a full-blown bear market with a 20 percent (or more) decline. It’s doubtful markets are setting up for a major decline like that again, but after their gentle rally in July and August, this latest correction has simply taken some of the speculation out of the market and created conditions conducive to stocks heading higher in time.
Now here’s the rest of the news:
Despite gold, silver, platinum & palladium all closing down, (this week over last): There is panic throughout the Central Banks to Power Gold Higher! Due to sovereign debt spiraling out of control and currencies plummeting to new lows, Egon von Greyerz makes the case for precious metals to soar to new highs.
September 25, 2019
Good Morning Barry! ‘The Bear’ asked me for some stock market advice … I hesitate answering directly, however… the words of Mark Cuban, the tech billionaire, owner of the Dallas Mavericks, and star of “Shark Tank.” came to mind.
“Diversification is for idiots.”
Strong words? To be sure. But I agree with him. And here’s why…
Even though the Wall Street Journal, your stock broker, and even your brother-in-law preach “diversification” as the best way to get rich in the stock market…
History shows it just ain’t so.
The world’s greatest fortunes have always been built by investors who were willing to focus their attention on a handful of stocks — or even a single stock.
Gates. Bezos. Zuckerberg. Walton. Rockefeller. Carnegie. They all got rich through intelligent concentration not mindless diversification.
Hope that advice will come in handy Y’all… 😉