THE STOCK MARKETS:
For those of you who follow my work in my newsletters, lectures and media outlets you know that for the past year I’ve been advising anyone who would listen that the markets are heading for a crash. I said so last January on Coast to Coast and my feelings haven’t changed one bit. While the 800 points of Monday’s drop is serious, in a 25,000 DOW it doesn’t represent a crash. Although we are going into a bear market, and we will see lower highs and lower lows as we head into 2019. There will be follow through on the down side and I continue to advise extreme caution if you are invested in the markets, either through your retirement funds or as a trader. We are going to see some very scary times ahead, and those who will need the money in the equities to live on you should be putting it into cash, or short term bonds. We are heading for a “debt-fueled recession” that will last a long time and could have a devastating effect on the middle class and working class in America and the world. The policies of this administration have put us in an untenable situation beginning with the theft of a trillion and a half dollars in last year’s tax cuts favoring the rich, and we will pay the price. Mr. Trump bankrupted every business he ever ran. What makes you think it will be different when the business he is running is the American economy? I don’t like being right when it results in pain for people, but it’s necessary to be realistic and protect your resources. Truthfully, I hope I’m wrong. And if so, I will be the first to admit it. And over the coming 2 years we will see if I am correct or not. In the meantime I hope you will all learn something about how these markets and your retirement accounts work and take measures to ensure your stability and security.