Bear Markets/Crash

This is Bananas

Medical professionals knew that a viral, global pandemic was not a matter of if but when. Where was the plan? If closing schools and businesses was a known policy to fight infectious disease, why was there no communication to the public that this could happen? Now is not the time to point fingers, but to…

Panic Mode

The World Health Organization declared COVID-19 a global pandemic today. Italy reported a 31% increase in deaths related to the virus. Stocks tanked, officially entering bear market territory. Negative headlines are coming too fast and furious. People are in full blown panic mode. When humans see danger, the brain pumps out stress hormones adrenaline and…

It’s Too Late

It’s too late for containment. “COVID-19” coronavirus is here and spreading in communities all over the United States. China, the second largest economy in the world, has shut down major manufacturing facilities for over a month. Supply chain disruption is already happening. Corporations are cancelling business travel. Schools are closing. The Tokyo Olympics might be…

Mardi Gras Selloff of 2020

Did you know today is Ash Wednesday and that yesterday was Mardi Gras day, the end of carnival season? If not then you definitely not live in New Orleans like I do. While our streets were filled with floats, plastic beads, costumes, glitter, and revelry for the sixth and seventh day in a row, the…

What Does Coronavirus Mean for Investors?

The most common question I get from investors is, “What do you guys think about the market here?”. Whether it is from clients, potential clients, at a family gathering, or at a cocktail party, this is the number one question on every investor’s mind. I used to dismiss the question and state the obvious –…

Sitting on the Sidelines

I get the impression there are a lot of investors sitting on cash. They are nervous about investing in the stock market. No one wants to invest at the top of the market, and everyone is expecting a crash. Although the benefits of investing today have been written about repeatedly here, here, and here, the…

Nerves

If you are ever in the path of a hurricane, you will notice that the animals leave before the storm hits. There are no birds, squirrels, or even flying insects around. Perhaps they can feel the drop in barometric pressure, which warns them to get out of the way. Being outside when all the animals…

Selloffs, Trade Wars, Yield Curve Inversions .. Oh My!

For the second time in two weeks, US stocks experienced a decent selloff yesterday. According to social media pundits, it was the fourth largest point decline in the history of the Dow Jones Industrial Average. Yikes! Except points are not percentages, and we will continue to see larger and larger point moves for the index…

Storm Preparation

Tropical Storm Barry is slowly approaching landfall in southeast Louisiana, and New Orleans is expecting between 10-20 inches of rain on Saturday. Two days ago, flash floods dropped 8 inches on downtown New Orleans in less than two hours. Many streets were impassible and low lying businesses and homes took on water. The pumps that…

The Price of Admission

There’s no other way to say it, this market is brutal. The S&P500 Index is down 9.61% year to date and has declined more than 17% since October. Small caps stocks are in a bear market, down more than 24% in the fourth quarter. Bonds haven’t helped. The US aggregate index is down 0.45% for…