This past month it has been 3 steps back and none forward for the stock market. We call this a ‘market correction’ and now I certainly think we can go much higher. The stock market and the economy do not go hand in hand. I believe the economy will be sluggish at least through the balance of the year. However, the stock market, being forward thinking, should accelerate. It isn’t easy in the summer months as the market is thinly traded, but it is certainly not the time to panic.
Europe will also be a drag on our economy, but we should do much better than they do in the short run. Remember the key word to investing is DIVERSIFICATION, and that is what I preach every day. I know I create a lot of paperwork for my clients by diversifying, but it will pay off in the long run.
Enjoy your summer and hope to see you soon.
In the mean time stay healthy, wealthy, and wise and certainly stay tuned.