- Over the last month, U.S. stock market valuations, using the most historically–reliable measures, have become the highest they’ve ever been. Ever.
- Based on current valuations, the next bear market in stocks may result in losses exceeding 60% from the ultimate top.
- The next decline will be painful for most investors as every bear market tends to be but particularly problematic for folks nearing retirement and those already retired. All their retirement plans may be in jeopardy if they do not take steps to adequately protect their wealth and preserve their financial independence first and foremost!
- There is hope for disciplined investors who understand the difference between a marathon and a sprint! For those investors, the next bear market may provide many attractive, sustainable, and sound investment opportunities at much cheaper valuations.
Continue reading “This Has Never Happened Before. The MOST Extreme Stock Market Valuations In History”
Back in February, CNBC interviewed Warren Buffett. For several weeks in advance the interview, CNBC asked viewers to submit questions via Twitter under the hashtag #AskWarren. I’m not sure how many questions were submitted, but they ended up choosing mine along with a few others.
This is pretty exciting for someone who knew from the age of 14 they wanted to be in finance and closely followed Warren Buffett, read his books, etc…
I’ve included a link to the video of the exchange below. This link will start the video at the point where my question was asked. You only need to listen for a couple minutes. Take a look. My question probably comes off as a little strange if you don’t know the context so, below the link, I explain the context of my question along with my response to his answer.
Continue reading “Warren Buffett Answered My Question on CNBC! Here’s My Response.”
Dr. John Hussman wrote another great commentary this week on the topic of extreme valuations in the market currently. His article is linked here with some notable quotes extracted below:
Notable quotes from the article:
Continue reading “Hussman: When Speculators Prosper Through Ignorance”
With the inauguration of a new President, it seems appropriate to identify a new economic and market baseline as a fresh starting point for the incoming administration.
First, the conditions President Trump is inheriting then we’ll see how those conditions stack up to his five immediate predecessors’.
All data as of 12/31 of year prior to inauguration unless indicated otherwise.
There are many observations to be made, but I’ll focus on a few I find particularly interesting.
Continue reading “A New President, A New Baseline”