Wednesday, May 31, 2023
  • Login
  • Register
Southern Boating
  • Boats
    • Center Consoles
    • Dual Consoles
    • Motoryachts
    • Power Cats
    • Sport Cruisers
    • Tenders & Ribs
  • Destinations
    • Bahamas
    • Caribbean
    • Pacific
    • U.S. Atlantic
    • U.S. Gulf
  • Engines
    • Engine Buyers Guide
  • Maintenance
    • DIY
  • Electronics
  • Lifestyle
  • Gear
  • Shop
  • Web Reader
  • Subscribe
  • Advertise
No Result
View All Result
  • Boats
    • Center Consoles
    • Dual Consoles
    • Motoryachts
    • Power Cats
    • Sport Cruisers
    • Tenders & Ribs
  • Destinations
    • Bahamas
    • Caribbean
    • Pacific
    • U.S. Atlantic
    • U.S. Gulf
  • Engines
    • Engine Buyers Guide
  • Maintenance
    • DIY
  • Electronics
  • Lifestyle
  • Gear
  • Shop
  • Web Reader
  • Subscribe
  • Advertise
No Result
View All Result
Southern Boating
No Result
View All Result
Home Marketgauge
Weighing Heavily On The Markets

Weighing Heavily On The Markets

May 11, 2022
in Marketgauge
0
585
SHARES
3.2k
VIEWS
Share on FacebookShare on LinkedInShare via Email

Marketgauge Outlook for May 8th, 2022

Suggestions to Help Protect Your Portfolio

This is an abbreviated version of our free Market Outlook published weekly on Sunday. Recently, we’ve urged investors to get defensive, and offered 9 suggestions to protect your portfolio.

The market last week was like a good gangster movie.

It contained high drama (anticipation of Fed raising rates), a love affair with the results (Wednesday’s rally), a quick turn in sentiment with the villain getting shot (Thursday’s plunge), gangsters needing new people and recruiting (Friday’s employment reports), and another shooting (Friday’s decline).

At the end of the week, stocks sat at new lows, with interest rates at new highs.

The outlook is a mixed bag. Here’s why:

The Negatives:

1. The Fed took action. After broadcasting that it would aggressively raise rates, it did so last week, and stocks shot up almost 1,000 points.

2. Draining excess liquidity. The Fed’s aggressive path will drain excess liquidity in their $9 trillion portfolio of bonds.

Additionally, the fastest pace of interest rate increases since 1994, supply chain problems, rising crude and commodity prices, and geopolitical risks, all make investor nervousness.

Investors now fear not only inflation, but stagflation.

3. Aging population and fear. Scared by fallings stock and bond prices, many retirees are moving to cash. Bank of America reported last week that $3.4 billion came out of stocks and $9 billion from bonds.

The Positives:

1. The Fed has begun the tightening cycle. Investors expect this to fight inflation and slow the economy down.

2. Earnings are very good. According to FactSet, 87% of S&P 500 companies have reported. 79% beat earnings estimates, and 74% exceeded revenue expectations.

3. Inflation may slowly subside. The global supply chain, exacerbated by China’s Covid policies, may resume soon.

4. Consumer demand may slow. This is the principal reason for higher inflation.

5. A healthy job market. Unemployment is at 50-year lows and high job openings (11.5 million) should help offset some of the economic slowdown.

6. Stock valuations are more attractive. Corrections of 10% or greater typically occur once in every 4 years. If we don’t see an additional 5-10% drop suggesting a bear market, it may not take much for the market to find a bottom.

7. Investor sentiment is very negative. Many firms are showing extremely negative/bearish sentiment measures at levels that tend to be where market bottoms form.

8. Commodity prices may retreat. If the economy cools off commodity prices should fall.

9. Geopolitical risk. If the Russia-Ukraine war gets sorted out soon, it should improve global supply chain issues.

Unfortunately, May to October is historically bearish, and mid-term election years tend to be volatile.

 


9 steps you can take to protect your investment portfolio:

1. Make sure you include CASH as one of your asset classes. Riding a downward market may put you in a deep underwater position that could take years to get back to event.

2. Diversify. Several of our investment strategies are positive on the year.

Click here to continue with the full-length article and more.

Previous Post

Southern Boating Partners with MarketGauge

Next Post

Bitter End Yacht Club adds a new Beach Bar

Next Post
Bitter End Yacht Club adds a new Beach Bar

Bitter End Yacht Club adds a new Beach Bar

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Recommended

Prep the Next Generation with Sailing Camps

Prep the Next Generation with Sailing Camps

May 1, 2015
3.3k
Offshore Fishing on the Gulf Coast

Offshore Fishing in the Gulf

October 1, 2017
3.3k

Don't miss it

Day 5 – Anegada Island: Great Lobster, Spectacular Reefs, and more
Featured

Day 5 – Anegada Island: Great Lobster, Spectacular Reefs, and more

May 31, 2023
3.3k
Remembering The Past – Looking To The Future
Marketgauge

Remembering The Past – Looking To The Future

May 31, 2023
3.3k
Powerful Shift: Sterndrive to Outboard Conversions Surge!
Haul-Out Guide

Powerful Shift: Sterndrive to Outboard Conversions Surge!

May 31, 2023
3.5k
Ladies, Let’s Go Fishing: Screamin’ Reels Tournament Hooks Success!
Featured

Ladies, Let’s Go Fishing: Screamin’ Reels Tournament Hooks Success!

May 31, 2023
3.3k
Day 4 – Revitalized and Beautiful: Leverick Bay to Bitter End
Lifestyle

Day 4 – Revitalized and Beautiful: Leverick Bay to Bitter End

May 30, 2023
3.3k
Day 3 – Virgin Gorda’s Enchanting Secrets: Adventures With The Moorings
Lifestyle

Day 3 – Virgin Gorda’s Enchanting Secrets: Adventures With The Moorings

May 29, 2023
3.3k
Facebook Instagram TikTok Youtube LinkedIn

Navigation

  • About Us
  • Advertise
  • Subscribe
  • Careers
  • Contact Us
  • Privacy Policy
logo

1591 E. Atlantic Blvd, 2nd Floor
Pompano Beach, FL 33060
Office: +1 (954) 522-5515
Fax: +1 (954) 522-2260
Contact us: info@southernboating.com


Newsletter

Subscribe to our mailing list to receive the best in boating weekly direct to your inbox!

No Result
View All Result
  • Boats
    • Center Consoles
    • Dual Consoles
    • Motoryachts
    • Power Cats
    • Sport Cruisers
    • Tenders & Ribs
  • Destinations
    • Bahamas
    • Caribbean
    • Pacific
    • U.S. Atlantic
    • U.S. Gulf
  • Engines
    • Engine Buyers Guide
  • Maintenance
    • DIY
  • Electronics
  • Lifestyle
  • Gear
  • Shop
  • Web Reader
  • Subscribe
  • Advertise

© 2023 Southern Boating Media

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
  • About Us
  • Advertise
  • Subscribe
  • Careers
  • Contact Us
  • Privacy Policy
  • About Us
  • Advertise
  • Subscribe
  • Careers
  • Contact Us
  • Privacy Policy