The end of this story is the U.S. market lives or dies with Europe!
If Europe is in a state of flux, we can pretty much expect at least a few more months of directionless drift punctuated with a lot of volatility. Europe will probably have a recession starting this last quarter, and the U.S. MIGHT have a mild recession, but that is not what is driving the markets right now. It is fear of a Eurozone meltdown!
If we do see a U.S. equity market drop of significant proportions, it will have started in Europe. Most of all, it is difficult to timeline the who, what, where, when, why or how contributors
The macroeconomic picture is just terrible, the demographic picture is terrible and we must continue to be realistic in our expectations. That said, cash dividends do not lie. I continue to like income investment vehicles. I will continue to focus on income generation in our client accounts keeping cash on hand to take advantage of good pricing on dips in this market.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing. All performance referenced is historical and is no guarantee of future results. All indices are unmanaged and may not be invested into directly.
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