Sunday, August 23, 2015

The Party Feels Like It's Over

This is the third longest bull market in U.S. history, and all bull markets must end.

There's a tremendous amount of negativity on the current bull market.

  • Bull markets rarely last over six years. 
  • China's economy is slowing significantly.
  • Emerging market currencies are in a crisis.
  • The Fed is raising interest rates.
  • Commodities and precious metals are in a bear market;
  • Oil is at a 6 1/2 year low.
  • 31% of S&P 500 stocks are in a bear market.
  • 39% of S&P 500 stocks are in a correction.
  • The 2.8% decline during the first three days of 2015 was the worst start since 2008.

  • The only positive I found was that 2015 is the third year of a presidential term.  Since WWII, the market has not experienced a loss during the third year.   However, it has closed flat during two of those third years: 1947 and 2011.

    The negatives far outweigh the positives.  Unfortunately.

    So it is very likely the market will continue to fall this week.   The only question is, "How far?"

    For more on New Beginnings, check back Sundays for a new segment.

    This is not financial advice. Please consult a professional advisor.

    Copyright © 2015 Achievement Catalyst, LLC

    No comments: