From looking at the state side futures in the S&P500 Index down close to a couple percent as I write ... Looking at Greater Europe and Greater Asia much of the same red, red and more red. Seems there is a rush for the exits by some.
I know that I want go to all cash as some have indicated they are; but, I am glad that I am at about 25% cash as I write and not close to being all in as perhaps some find themselves. It sure is looking like that 2016 is not starting out so good for the buy and hold investor ... but, it might be for some traders.
Now, I just might be opening a spiff position sooner than I thought if the markets continue to tank figuring that big money and the flash crowd want to shake up the little money guys where they sell ... and, perhaps those with stronger positions will be buying.
Things are not cheap enough ... just yet ... for Old_Skeet to put his buying britches on.
And, so it goes ... Welcome to 2016.
Comments
As I had mentioned in an earlier post, market looked like it wanted an excuse to go down and China provided it. Thought it might happen later in the month though. Will probably bounce back tomorrow the way it has been trading lately.
Good luck folks.
@dryflower: No I can't remember a start like this since we began taking annual distributions 5 or more years ago. No doubt it's happened before.
Several oversold buys triggered in my portfolio in Pharma, Medical Devices, Home builders, Blue Chip growth, Big name Tech, China and Asia funds.
Seemed like programmed trades that unwound much of the high-flying window dressing buys end of last year with China news as excuse.
Chinese markets are so tightly controlled and a necessity for the Government to prevent massive losses especially with their citizens reeling from real estate collapse. So I think they will do whatever they need to do to prop it up like last year. So, I don't expect it to set off a world wide bear market yet.
Started wicked ugly but recovered so very well. Geez, this morning, I was even flashing back to Gary Smith 'true selling day' and was contemplating drastically reducing all equity positions. feh. Held off.
What has changed? Whole world knew China was having problems . . . and they finally showed up in ways that can't be hidden nor explained away.
We knew the Fed had begun tightening and that's been priced in since I was posting on a regular basis.
All that's 'new' is the breakdown in relations between Iran and the Saud's. Here's the background for anyone interested. In nothing else, it will make you more of an expert than 90% of the presidential candidates.
http://www.cfr.org/peace-conflict-and-human-rights/sunni-shia-divide/p33176#!/?cid=otr-marketing_url-sunni_shia_infoguide
This is an issue, however, that bares watching. While and age old schism, the increase in the militarization of this region (largely in response to, and with arms from our good old Uncle Same), makes this dangerous. I think cooler heads will prevail but watch it.
Otherwise, our economy is actually starting to recover.
and so it goes,
peace,
rono