Posted on 03/09/2009 9:27:41 PM PDT by FocusNexus
As if investors didn't have enough to worry about, a new land mine is lurking: "the Obama market."
That's what I heard over the weekend from a veteran investment adviser, Charles Allmon. "Political ramifications represent a significant added market risk that should not be ignored," he says.
Initial polling suggests that Senator Obama will be the next president, a view Mr. Allmon shares. An Obama presidency is certain to mean a big tax increase, he says.
Further, the veteran adviser, who publishes a 46-year-old monthly investment newsletter, the Growth Stock Outlook, out of Bethesda, Md., made a marvelous market call last July with the Dow Jones Industrials hovering around 14,000 and bullish sentiment rampant. In an ominous warning to subscribers, he urged extreme caution, predicting the Dow was on its way to 8,500 to 9,000, which he noted was a forecast that "could be on the high side."
(Excerpt) Read more at nysun.com ...
Too bad it didn't wake people up -- they still voted for Obama.
I was looking for his Newsletter, but found out that he retired and stopped publishing it in Dec. 2008, at age 87!
Talk about hitting the nail on the head. Daggone, spot on right.
“He’ll cause more damage to the stock market and even make Jimmy Carter look good,” Mr. Allmon says. “Senator Obama is leading a children’s brigade, but the problem is children shouldn’t be leading this country.”
THAT was a call...
He lived through the last Great Depression. Maybe we should have listened to him.
“He’ll cause more damage to the stock market and even make Jimmy Carter look good,†Mr. Allmon says. “Senator Obama is leading a children’s brigade, but the problem is children shouldn’t be leading this country.â€
THAT was a call...
He IS a genious.
He also called the Real Estate market crash, before anyone else:
Mr. Allmon is convinced that home prices are headed down for at least the next three to four years. As a result, he says, “people will see the biggest asset they own decimated, which means they’re going to cut back like crazy on their spending.”
>Why a further decline? “Because there’s quicksand all around us,” Mr. Allmon says. “We’re in an economy that’s tanking, we’re looking at the most significant economic downturn since the 1930s, and the dollar is going to hell.”
Bear-ack 0bama
Oopsie,
His call of 8,000 was a bit high.
He actually did say that it could be on the high side, and it sure was...
Don’t forget when he predicted this.
Nobody in their worst nightmares imagined that Obama is going to push his socialist agenda hard from day 1 and instead of focusing on solving the crisis, he doesn’t care about that, just uses it to push throught his Marxist agenda.
“He’ll cause more damage to the stock market and even make Jimmy Carter look good,” Mr. Allmon says. “Senator Obama is leading a children’s brigade, but the problem is children shouldn’t be leading this country.”
I miss The NY Sun.
BTTT
Mr. Allmon was right on the money on just about everything! The only thing he was wrong about was his prediction that interest rates would be going much higher. Inflation has so far been held in check, and the dollar has held up well in comparison to other currencies.
He was also smart in holding 80% Cash in the summer of 2007 as others were rushing madly into stocks.
That ... that is superb!
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