Commentary for March 7, 2008
Friday, March 7th, 2008
Stocks are looking to open sharply lower as the Labor Department reported that Non-Farm Payrolls for the month of February fell by 63,000 far below the consensus estimate which was for a flat payroll report. As we noted in our letter to clients during early January, we projected a choppy/downward moving market during the first half of 2008 with the stock market rebounding during the second half. With this in mind, we will continue to dollar cost average into stocks on weakness and recommend that investors stretch out their time frames and begin to look for values that may be profitable over the next one to two years rather than one to two months. Build positions and look to upgrade your portfolio.
Regarding fixed income, be VERY careful out there. The credit markets have seized up and that is being reflected in municipals, mortgage bonds and low-grade corporate bonds. On the flip side, we continue to find value in Inflation Protected Securities.
Any specific stocks named in this presentation may not be representative
of current or future investments in the portfolio to which they belong.
You should not assume that investments in the securities identified
were or will be profitable. We will furnish, upon your request,
a list of all securities purchased, sold, or held in the portfolio
during the twelve months preceding the date of this presentation.
Please note that all data is for general information purposes only and
not meant as specific recommendations. The opinions of the authors are not a
recommendation to buy or sell the stock, bond market or any security
contained therein. Securities contain risks and fluctuations in
principal will occur. Research any investment thoroughly prior to
committing money or consult with your financial advisor. Please note that
Fagan Associates, Inc or related persons buy or sell for itself securities
that it also recommends to clients. Consult with your financial advisor
prior to making any changes to your portfolio.
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