In the next few weeks, I expect the stock market to be very volatile. I also expect a 10-20% decline given new uncertainty in a number of economic and political areas: new Fed chair, Middle East instability, and bond purchase taper. The market generally reacts in a negative manner with new uncertainties. For example, I don't think the debt ceiling debate will have much impact on the stock market, since it has experienced that situation before in 2011.
Although it will be painful, I plan to put 10% of our cash back into equities when the market has declined 20%.
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This is not financial or investing advice. Please consult a professional advisor.
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2 weeks ago
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