Skip to comments.Markets Eye 4 Horsemen Of Obama’s Second Term
Posted on 11/10/2012 7:03:28 AM PST by blam
Markets Eye 4 Horsemen Of Obamas Second Term
By Rachel Koning Beals
Nov. 9, 2012, 5:20 p.m. EST
CHICAGO (MarketWatch) Whether you exhaled or gasped over the presidential election result, theres no denying what comes next: A deficit and budget slugfest that will play out against a vulnerable U.S. economic recovery and Europes own debt mop-up.
That means if you believe that the so-called fiscal cliff, in the shape of a planned $600 billion of federal spending cuts and higher taxes, threatens the growth-stock strategies favored during the election runup, it may be time for a little insurance.
President Barack Obama on Friday, in his first public statements at the White House since winning reelection, will call on Congress to take steps to help the economy and reduce the deficit, Laura Meckler reports on the News Hub.
Stock-market Armageddon portfolio? Not quite. Canned beans? You bet.
David Rosenberg, Chief Economist & Strategist at Toronto-based investment manager Gluskin Sheff + Associates, trotted out his four horsemen of risk in an August commentary, a time when trading screens flashed green and candidates grins flashed white.
Rosenbergs sober point then and now: The White House occupant wont matter much because: Europe is unstable; severe drought drove up food prices in the U.S. and globally (so, yes, we need to talk about inflation): demand for U.S. exports is weakening, and the fiscal cliff, which he says threatens to erase three- to five- percentage points from U.S. GDP.
So, how do investors position their portfolios against the four horsemen of President Barack Obamas second term? First, look at each risk individually:
Central bankers in developed nations will be reluctant to raise interest rates while Europe drags down global growth.
With that in mind, bond and exchange-trade fund strategists
(Excerpt) Read more at marketwatch.com ...
*Disclaimer - I'm not telling you what to do, I'm telling you of an option.
Who knew the most terrifying of all would be “the comfy chair”
what's your opinion on MM accounts? thankx in advance
Surely it can be moved to an IRA
The problem with investments is liquidity.
A man needs a bug out plan.
Yep, 80% to money market, 20% gold stocks was my move.
are there advantages to an IRA vs a 401K? i know i should look into them more
I am no expert.
But I have always had a bugaboo about liquidity.
When the SHTF I don’t want to be messing with brokers.
Repo Men, a whole different ballgame... https://www.youtube.com/watch?v=jl9Nvg4yuus
You’re welcome :)
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