The market is now down two days in a row. Imagine! Are you getting weak-kneed?
I hope not.
Let me share a couple of charts with you to provide some perspective.
The August/September period of the stock market – the chart, above, is of the S&P’s performance from 1929 to 2012 – is the roughest period of the year. The above chart notes that the average return for August is about +0.7% for the month of August. But isolating monthly returns for August during the last 50 years pull that average down towards September’s more dismal average. Suffice it today, for seasonal reasons that no one understands, August and September are tough months.
Add to this, the goings-on with No. Korea, and we could be in for quite a tizzy. Peace and diplomacy are uppermost in my mind, and probably yours. But this is a can that’s been kicked down the road for multiple decades. No. Korea acts up, threatens neighbors or the world, nations agree to talk, more threats are muttered, and time and bribes are offered to stop the hysterics. That’s been the script. At least so far. Perhaps, it is time to challenge that script. Or, are we to continue to permit, or even enable, a nation to act like a terrorist or to facilitate others’ terrorism in various, sordid places around the world until they are ready to stop or to cause us to cower into surrender? Same goes for Iran, as far as I’m concerned.
Now financial markets are wonderful places to make money over time, but they are dreadful places to find examples of courage. That, you will need to find within.
If I might offer some encouragement, take a gander at this chart: