Thoughts to Ponder . . .
- Give a man a fish and he will have food for one day. Teach him to catch fish and he will spend all day at the lake.
- I enjoy taking long romantic walks, to the fridge, and today THE VOTING BOOTH!!!
- Our toaster has two settings: too soon or too late.
- I stretch my arms, I bend my knees, I straighten my neck, and they are all crunching. Conclusion: I’m not getting older, I’m getting more crunchy.
And Now on to The Market Update . . .
As is my policy, I am going to do my best to stay away from rendering any opinions on the election results.
- What I will say is that I am glad it is finally over.
- The campaign was the most negative and unprofessional in the history of politics and it took an emotional toll on the country.
- From consumer confidence, to spending, to housing, and so many other areas, the people of America were feeling less and less confident about the future, simply due to the constant spewing of negativity.
Tuesday the decision was made and unfortunately, the country remains as divided as it was on Monday, if not more.
- The good news is that the sun will continue to rise and we will move on.
- The euphoria for some, and the anger for others will eventually subside and we will get back to business as usual.
In writing this newsletter for so many years, I often reference the opinions and predictions of analysts and experts.
- In the history of predictions, never-before have so many been wrong relating to election results.
- Even at Benjamin Franklin Elementary School, which has predicted the election accurately for the last 48 years, they didn’t get it right.
- The results caught everyone in the world by surprise.
- This now has me asking myself the question, what is it that makes someone an expert?
Investors are fickle and it was never clearer with what occurred on the night of the election through Thursday morning.
- Prior to the election, it was stated by virtually every economic expert that the stock market would tank if Trump won.
- The night of the election the Dow Futures declined more and more as the expectations of a Trump win increased.
- The Futures dropped by 900 points and that was a clear indication that on Wednesday morning there was going to be market bloodshed.
- For some reason when investors woke up Wednesday morning, they seemed to feel differently and the stock market soared.
- Can someone please tell me what changed from 3:00AM EST to 9:30AM EST that would cause the reversal in investor sentiment?
Thursday the stock market continued its climb to a new record high.
- In the two days since the election, the stock market is up over 640 points.
- So much for expert opinions.
- All the so-called business experts of course began immediately explaining why the market soared, even though six hours prior, they were predicting the end of the world.
In the coming weeks we will hear much about our future President’s plans for economic growth and the stock market investors will hinge their every investment decision on whatever words are uttered out of his mouth.
- Like I said in the beginning, the sun will continue to rise and set, and regardless of who your candidate was, before long it’s going to be business as usual.
This week’s potential market moving reports are:
- Tuesday November 15th – Retail Sales
- Wednesday November 16th – MBA Applications, PPI, Industrial Production, Housing Market Index
- Thursday November 17th – First Time Jobless Claims and Housing Starts
- Friday November 18th – Leading Indicators