UVXY over the past week:
WOW.....!!
Stocks have advanced from SPX 666 to over 2100 recently. That is 215% increase in 7 years! Today it is down 3%,
That is Oil went up 20% in last 3 days before falling 8% today.
Keeping things in perspective.
From the WSJ
“For us, it’s a question of ‘Are we missing something?’” said Stephen Freedman, senior investment strategist at UBS Wealth Management Americas. “Is this downward volatility telling us something about the fundamental picture in the U.S. that we’re not seeing?”
Hmmmm....could be.
I got asked this question offline, and I didn’t have an answer, so I’ll ask some smart people:
As opposed to all the percentages and points, can anyone put a DOLLAR AMOUNT on what’s evaporating? Just how much wealth is being lost?
They will be up tomorrow.
Dow 12,000 here we come!
Don’t want to lose?
Then don’t sell.
That’s it. Don’t sell.
Here’s what is interesting to me; China has purchased $1.5 Trillion of US debt, most all at higher interest rates than now. I hear they’ve been selling, which under normal circumstances would put upward pressure on mid and long term US interest rates and the dollar. They are selling at a premium since their holding better paying bonds than what we are currently selling, and I thin they see it as a good time to do so. BUT, due to global fear and lack of a debt alternative in the global markets US rates are going down. It helps that, due to the sequester, we are only issuing half the debt we did a few years ago. Bottom line? IMHO the Fed sees this as well, will increase short term rates and things may start to normalize. The ChiComs will have a bit less reason to sell, people will pay attention to the slightly positive economic news, and the slowest weakest recovery since the Great Depression will slog on.
Bu Bu But Friday they said we are now in a recovery and up market
If you know you have quality stocks then don’t sell. Doubting oneself if how weak hands are shaken out. Some cash and some gold and ssilvr as a fall-back.
Also could be gearing up for Shimetah.
If you know you have quality stocks then don’t sell. Doubting oneself if how weak hands are shaken out. Some cash and some gold and ssilvr as a fall-back.
Also could be gearing up for Shimetah.
China is on the meltdown. The BDI is in the toilet of course the stock market is going to “correct”. This is just part of the slow downward spiral into total depression.