Saturday, January 30, 2016

Investors grateful for end of January 2016


Regarding the STock market I think just about everyone is relieved January 2016 is almost over. That the stock market has recovered as far as 16,466.30 is as comforting as any of us are going to get for now. But, it is important to note that the stock market is and will remain volatile and if it isn't something you are prepared for likely you shouldn't be in the stock market right now. Some people hedge their bets by going 60% stocks and 40% non-taxable Muni Bonds. This was how people did the best during the Great Depression for example. The people the most into tax free Muni bonds weathered the great depression best. However, now you have to worry about Muni bonds in places like Stockton (which went bankrupt), Puerto Rico (which may be going to go bankrupt) and anywhere else that might go bankrupt where you would lose not only your interest but also your principle potentially. So, Muni bonds are not the sure thing in all places even now. So, just remember to hedge your bets for long term planning so you have some of your investments through diversity okay no matter what happens in any market on earth if you decide to stay in the market.
1,940.24
+46.88 (2.48%)
Chart for ^GSPC
16,466.30
+396.66 (2.47%)
Chart for ^DJI
4,613.95
+107.28 (2.38%)
Chart for ^IXIC
Reuters

Wall Street surges at end of awful January

At one point last week, the S&P's loss for 2016 reached 11 percent before recovering to end the month down 5 percent. Global equities got a surprise boost on Friday after Japan's central bank cut a benchmark rate below zero to stimulate its economy. Microsoft shares (MSFT.O) jumped 5.83 percent on better-than-expected results.

No comments:

Post a Comment