Wednesday, June 25, 2014

OMG !?!

Let's see . . . the labor market is improving, albeit slowly but steadily improving . . . corporations are highly profitable and sitting on a trillion dollars in cash . . . May home sales were the highest in seven years . . . consumer confidence is at the highest point since the global financial crisis . . . what, the Dow lost 119 points yesterday!?!  The sky must be falling!

I don't know if this is the beginning of the perfectly normal "June swoon," but we are due for a 5-10% correction and shouldn't be scared of it.  It is good for the stock market in the long run.  And, don't forget the stock market always over-reacts to geopolitical events, and we have a potential "humdinger" of a geopolitical event coming up.  It too shall pass . . .

Now, take the summer off and go to the beach!