Yes, I predicted this in a previous post within the past month. It is now almost a certainty, and those who got out of the stock market should be re-thinking that decision.
US stocks are still extremely valid, and profitable. While some think it is a bubble, the truth is the growth is continueing, and with the exception of a major calamity, will contine to grow. Real Estate? Some minor growth. Bonds? Some minor growth. Stocks? Yeah, baby.
18,000 Dow, record employment gain, umnemployment down, deficit down, gasoline prices down. If Romney had been elected and this happened on his watch, there would be those who would now say “see, we needed to get rid of Obama.”
A bit of a slide back today, but the overall trend is to the upside. I have a feeling that the retail, housing, and job trends will continue into the new year and things are looking very nice financially.
The only downside is weak, or no income gains for families. However, if more are working, then everyone wins. Including the Department of Treasury.
Day to day volatility doesn’t bother me. Even month to month volatility doesn’t bother me. When you are properly diversified, you win over the long term no matter what. People that react irrationally to market swings lose.
There is no question that the data shows trends of growth. All to the dismay of those that wrongly said Obama would wreck the economy. The Dow is close to 10,000 points higher than when he took office.