Friday, December 21, 2012

Today's Market
by Dr Invest

Ho, Ho, just like a yo yo! That is just what the market has been doing, the yo yo! One day my investments are screaming upward, the next day my investments are in free fall. Although the market climbed in 2012, the entire year has been... well, like a yo yo.

Though the S&P has risen a little over 13%, all the gains were nearly erased once in this year, and a second time slid toward all the gains being erased a second time. Bernanke on the ball, quickly promised zero interest and on-going stimulus until either unemployment returned to normal levels or inflation began affecting the economy.

So here we sit in one of the world's most volatile markets, wondering when the next axe will fall. Nothing is predictable; the market is growing too quickly to stay-out and falling too quickly to say in. If you don't invest, you lose 12%; if you do invest, you could lose 30%. And worst of all, nothing is predictable. Expected market cycles are almost non-existent.

Today's Gains

Today, I saw gains across the board. Everything was green, excepting my investment in IAU (a gold trust). There is really nothing to report. With the on-going political wrangling, the market remains vacillating and volatile.

I remain hopeful that financial winds will blow in a new direction, bringing eventual gains. I don't believe that central banks can keep pumping the market indefinitely and that there will be a "payday someday".

If you are to stay invesed in the market, protect your investments with a stop-loss and be prepared to get out of the market in a serious downturn.

(note: the above article is for entertainment purposes only and not to be used as investment advice.)

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