In general you are correct until you imply this is true for all. My broker started warning me in late August that inflation would take strong medicine to control. And probably start a recession comparable to 2000 and 2008. We started taking a slow calculated approach to recession proofing my portfolio. As more evidence came in we accelerated this action. The stocks we now own should do well during a recession. Then we can start a slow change back owning far more shares. They key to learning from all these people is only listen to what they say a little and look at the data they use to make up their argument. For example in the last few weeks there have been may articles saying correction is over. All look at the 0.3% rise in April in US CPI and that the fact all indexes did better in April. The problem is the data. CPI was low because Petroleum fell, it came roaring back the last week in April and was about 20 % higher in May and is still climbing. Based on this and looking at all the changes that impacted the CPI for April I am confident that Mays CPI will be the highest in 40 years. The markets were higher because many did not take time to understand CPI and started buying. What is interesting the FOMC did not even start taking money out of the system till 1 June. Even then they start slow and ramp up. So read, read, read, always look at and understand the arguments. I read 3 times as many articles about why we will NOT have a recession as I do ones that say we will. It is the only way I can test and prove my ideas. IT is the only way I will know when to change my course ahead of others.
Yes I use a full service broker and they are worth every penny. I Went through many before I found a keeper. We do not always agree I wanted to sell Amazon badly, he told me to keep it. It will come back but it is going to take multiple years. We will see. There are multiple things that went the other way.
LYC Price at posting:
$9.56 Sentiment: Sell Disclosure: Not Held
(20min delay)