J. B. Wulff

Market Memory: An Abbreviated Tale Of Two Bottoms (Part 1)

Even the best horse has to stop for water once in awhile. The market is an indicator of far too many things to ever enable a reliable prediction. Still, as an indicator it has historic value. We have seen a crash not unlike the Great Depresson event. Governments have stepped in more boldly in their attempts to stabilize the global economy. The DJI did not return to the 1929 peak level until after WWII! That had to include some inflation. I cannot believe that the market's historic rising trend has resumed without corrections. According to an item floating around the net called IOUSA, our country's real deficit is some $57 Trillion. That's adding up Social Security and everything else that is an unfunded liability. The prudent investor will be careful. The age old wisdom is, "The market will fluctuate."