Thursday, July 17, 2014

Why Good Is The New Bad And Why You Should Buckle Up This Fall | Seeking Alpha

Why Good Is The New Bad And Why You Should Buckle Up This Fall | Seeking Alpha



Chris Puplava has written an outstanding article about a very certain market correction when the Federal Reserve starts to raise its target funds rate.  He included labor statistics and inflation charts to prove that we are getting near the time when the Fed will raise interest rates.  Then, Chris presented charts about the stock market's reaction on the initial interest rate increases.  So, we will most likely have a significant stock market correction due to these factors in the next nine months although Chris thinks the pullback could be as early as this fall.  Of course, in July, we are having Ukraine and Middle East war fears that could cause a market decline sooner than anything the Federal Reserve does.  The bottom line is that we need to have a good defensive plan for at least part of our portfolio.


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