Tuesday, June 28, 2022

If You're Thinking About Buying Stock Now......

 After prayers this morning, I did some more research in the market, crunched some numbers as they say, and where it might be going. 

Yes, the "Bear" market seems to be over, but historically, every bear market has a time of "Bullish" behaviour before the market starts to dip once again. 

Part of it is the reaction of the world's central banks, including our Federal Reserve( The Fed) and the Bank of England ( BOE). 

To control the inflation cycle, the central banks are going to have to up interest rates. 

Traditionally, higher interest rates puts brakes on people buying. It always had. And if people stop buying, the profits of corporations go down. Thus they are worth less, and it nearly always shows in the price of that business's stock. 

This is going to be a long grinding period of time. It's going to be hard to find stuff to invest in, especially the stock market. 

Don't be shocked if there is not an even stronger bear market and the stocks go even farther down. 

Right now the job market is strong and I wonder how long that will last? 

Hang in there, keep cash on hand. Look at interest bearing bonds. Good old fashion fixed income... Be conservative with your money right now folks. 

I am not a financial advisor, nor do I play one on TV/Radio. This is just an opinion.

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