Stocks and What to Make of the Markets.....
Most people see the stock market in terms of the past. You know that there is always a period where profit taking occurs when the larger funds pull their money out and leave the little fellow hanging because the is generally when he is all in. That is of course at the top.
Well things are a little different now as you know. The central planning departments know that they have complete control of all indexes at the moment. They have control over most markets period. That being said should you be expecting the monumental returns that have taken place over the past ten years?
The short answer is NO.
Inflation adjusted the market is basically where it should be right now. The DOW is at around the 25 to 26000 mark and that is where it should be inflation adjusted. So we should not expect the markets to do very much from here.
Surprise, surprise, they haven't in quite some time.
Oh sure, you still here the same old BS that the markets are going to crash and to prepare for a similar event to 2008. That is NOT going to happen. Not at all. This is not the first time that you have heard me talk about the markets in this way. Just go back to earlier this year and you can clearly see my projections which have to the most part come to pass. I did tell you that the indexes were poised for some nasty selling but that it was not going to be a crash and then to prepare for a rally. Well that is essentially what happened. We used the Neikki to gauge our positions if you had taken ones. There was a time to get out and a time to get back in.
I doubt that you will see another crash in my lifetime anyway. The stock indexes should in all honesty do nothing more than move sideways for a long time until the boomers have all dies off. Then you should see some downward movement followed by upward movement. The one index that should defy most collapses is the NQ.
Technology is going to keep pushing this index higher and higher. It is not done by any stretch of the imagination. We are on the verge of machine learning. Of advanced AI so it is arguable if the same companies will even be there ten years from now. Unless they adapt to the new future they most certainly won't. Most of the dinosaur businesses that are not adapting to the changing environment are in trouble. You can see this daily in the news.
By 2029 when the Singularity comes along we will have very different business models and perhaps schooling as we know it will be a thing of the past unless the schools are working very closely or merging with the industries they can help. If they cannot help the industries needing the training and knowledge on how to proceed then these schools will become obsolete. Tell me what is the point now of a neuro surgeon spending decades learning the trade when a machine will be able to do the operation a thousand time better.
Unless you are a glutton for punishment you will want the machine to fix you. In fact it might not even have to open you up to fix the problem. Let that sink in for a minute.
The boomers are not likely to see these amazing transformations but their children certainly will. By the time Singularity changes everything in about ten years most boomers will be 75 to 85 years old or more. The bulk of them will have checked out. I will be 65 by then and by the time I am 85 the world will be a very different place if I live that long.
So keep in mind for the time being the markets are being artificially maintained at these lofty heights and will likely tick higher keeping pace with inflationary pressure. I think that your nest egg invested in stocks is quite safe at least for ten years. After that I don't know. I don't even know if our monetary system will be what it is now. It could be completely different. Anyway that being said buy any sizable dip. That is a good plan to do. Cheers!
Well things are a little different now as you know. The central planning departments know that they have complete control of all indexes at the moment. They have control over most markets period. That being said should you be expecting the monumental returns that have taken place over the past ten years?
The short answer is NO.
Inflation adjusted the market is basically where it should be right now. The DOW is at around the 25 to 26000 mark and that is where it should be inflation adjusted. So we should not expect the markets to do very much from here.
Surprise, surprise, they haven't in quite some time.
Oh sure, you still here the same old BS that the markets are going to crash and to prepare for a similar event to 2008. That is NOT going to happen. Not at all. This is not the first time that you have heard me talk about the markets in this way. Just go back to earlier this year and you can clearly see my projections which have to the most part come to pass. I did tell you that the indexes were poised for some nasty selling but that it was not going to be a crash and then to prepare for a rally. Well that is essentially what happened. We used the Neikki to gauge our positions if you had taken ones. There was a time to get out and a time to get back in.
I doubt that you will see another crash in my lifetime anyway. The stock indexes should in all honesty do nothing more than move sideways for a long time until the boomers have all dies off. Then you should see some downward movement followed by upward movement. The one index that should defy most collapses is the NQ.
Technology is going to keep pushing this index higher and higher. It is not done by any stretch of the imagination. We are on the verge of machine learning. Of advanced AI so it is arguable if the same companies will even be there ten years from now. Unless they adapt to the new future they most certainly won't. Most of the dinosaur businesses that are not adapting to the changing environment are in trouble. You can see this daily in the news.
By 2029 when the Singularity comes along we will have very different business models and perhaps schooling as we know it will be a thing of the past unless the schools are working very closely or merging with the industries they can help. If they cannot help the industries needing the training and knowledge on how to proceed then these schools will become obsolete. Tell me what is the point now of a neuro surgeon spending decades learning the trade when a machine will be able to do the operation a thousand time better.
Unless you are a glutton for punishment you will want the machine to fix you. In fact it might not even have to open you up to fix the problem. Let that sink in for a minute.
The boomers are not likely to see these amazing transformations but their children certainly will. By the time Singularity changes everything in about ten years most boomers will be 75 to 85 years old or more. The bulk of them will have checked out. I will be 65 by then and by the time I am 85 the world will be a very different place if I live that long.
So keep in mind for the time being the markets are being artificially maintained at these lofty heights and will likely tick higher keeping pace with inflationary pressure. I think that your nest egg invested in stocks is quite safe at least for ten years. After that I don't know. I don't even know if our monetary system will be what it is now. It could be completely different. Anyway that being said buy any sizable dip. That is a good plan to do. Cheers!
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