What’s real

The market rallied 200+ points yesterday a day after shuffling around the 10,000 level.
Where are we headed here??Will the Gulf Oil spill ever be stopped?
Will the Eurocontagion be the impetus for a second leg lower economically and marketwise for the US?
Are we back on deflation watch?
Will the midterm elections provide the type of animosity that paralyzes and lowers markets?There is so much uncertainty out there that sometimes its best to move even more slowly than you might otherwise. Buy 100 shares of a solid idea with the thought of buying more later. Incorporate a bond holding instead of emerging markets fund.
Discretion is the better part of valor and these are times when that is decidely so - the danger of this market moving dramatically higher over the coming 2-3 months is quite small in our minds - we also feel that the danger of a huge downward move is very low too.
Measure twice - cut once!  Be cautious but don’t be paranoid.

This entry was posted on Thursday, June 3rd, 2010 at 10:16 am and is filed under Commentary. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.