Hello friends. As you know the stock market has sky-rocketed since the election and set a record pace in advancing the DJI from 20,000 to 21,000 in 24 trading days. So, what’s next?
I did some reading and came across a couple of articles I decided to share today. The first is by Mark Hulbert at MarketWatch. He writes some very interesting pieces, in my view. His article suggests that the market could be in for some further gains in the short term, basing his case on a contrarian viewpoint toward his latest measure of investor sentiment. Go here to read Mark’s article.
The second article is a piece by Tim Mullaney, special to CNBC.com. This article is a more sweeping view of what may lie ahead, especially in light of political and economic uncertainties. Go here for this article.
May God bless each of you.
Dr. Allen,
Thanks for the articles. Great perspectives. I think the only place I disagree with the Tim Mullaney article is the 300 point rise the day before the election. I think that was just a short term move based on the market being “certain” that Candidate Clinton would win. The market likes certainty versus uncertainty. Watching the futures sell off the night of the election when the election results were uncertain and then watching them start to rally and see the surge the next day with there was certainty about the outcome supports the idea that those two days were not about economics at all but about the idea of certainty.
By the way here is a blog post that I think you might like. http://awealthofcommonsense.com/2017/02/ed-thorps-advice-on-how-to-live-a-good-life/
Dear Julian,
Thanks for the good feedback. The market does like certainty. Sizing up the current stock market environment is surely a challenge for experts. We seem to face large political news daily.
Thanks too for the blog post. The idea of certainty carries further than the market and I believe our great need for it is even at the heart of the blog post with regard to what brings real fulfillment.
The Bible has much to say about how temporary life is on earth. I believe what is discussed in the blog post is something we all have thoughts on as we continue aging. We think back to youthful times and find ourselves thinking there are things we wish we could recapture about life. But again, this life is temporal. James 4:14, the New King James Version of the Bible puts it this way:
“whereas you do not know what will happen tomorrow. For what is your life? It is even a vapor that appears for a little time and then vanishes away.”
So when is enough “enough” that one can know the sort of security toward the future so that real and permanent fulfillment is not only possible but certain?
I share often about Jesus Christ in posts. I believe a much more important question than “when” have we realized “enough” is “Who” is “enough.” Enough is enough when my eternity is settled and certain. For whatever I may be custodian over in this life with regard to earthly possessions can do nothing for my eternity.
Yet Jesus Christ stood in my place when He died on the cross and removed (paid off) my debt of sin (on my spiritual balance sheet) against God by His death, burial and resurrection. By His work, He secured my eternity when I accepted Him by faith. Hebrews 11:1 defines faith and I love what it says:
” Now faith is confidence in what we hope for and assurance about what we do not see.” (NIV, Bible)
Christ is a certain hope and by faith in Him, we are assured (certainty) of heaven and being with Christ (what we do not yet see).
Certainty is security. No amount of money can contribute to securing one’s eternity. But Jesus Christ can and in fact has already done all that’s necessary through His cross to attain our acceptance before God. But one must receive Him. He (alone) is absolutely “enough.”
How can I ever truly be content on earth until eternity is settled and I know I’ll be with God in heaven? Having made that decision years ago to trust in Christ alone to secure my eternity has provided assurance of faith (God always keeps His promise); and contentment remains because the answer (Christ) always remains (through thick or thin), He is enough.
I’m sorry to be so wordy. As I read the post about Thorp, my faith in Christ brought these additional comments to mind and heart.
Thanks again, friend.
Paul
P.S. Julian, I wanted to be sure you know that I appreciate you sharing the commentary. After mulling a bit, I tend to agree with your theory about what happened with market moves just before, during (the futures), and immediately following the election.
Also, it is so easy to become distracted in life and miss out on what matters most. So, thanks again for sharing the blog post.
Nothing wrong with being wordy when you have something on your heart. Thank you for sharing.
You are kind, Julian. Thanks.