THE STATE OF THE STOCK MARKET?
There is risk in all types of investments even cash.
Money Market Funds are not fixed anymore at a dollar, the price is being traded and it doesn't provide diversity inside them, there portfolios are more heavily weighted to US Treasuries.
That's why when I do see Fear Risk in the Market, instead of moving into Money market funds, I'll move the money into a Stable Value Fund or a Short-term bond funds.
That said, the biggest risk in the Market is Bonds (duration) because the yields are so low and if the Economy stays at its current growth target the Federal Reserve is going to raise interest rates in December and into next year.
The current decline in the Market is do to the uncertainty of the Presidential Election.
After that is taken out of the way and the implications of whom the winner will be the Market will resume it's focus on Macroeconomic news, Corporate Earnings and the upcoming FED meeting in December.
I don't like risk either, but I'm keeping to my trading system that I do every year.
I don't see the Economy going into Recession or the Market being overbought at this time according to the latest indicators that I keep track of.
I too have lost some value in my portfolio in the last nine days.
But at this time we are not going to be fully invested in the Stock Market until we see the Political and the Federal Reserve policies come clear with less uncertainty!
Mr. Peter Casula Jr
Sent from my iPad