As of this writing on Friday afternoon, the S&P-500 is down about 2% today, to wrap up a pretty bad week for stocks. Thankfully, gold, US Treasuries and the miners are doing well, offsetting our stock allocations.
After last week’s announcements about the Trade Truce, many people seemed to be jumping back in to stocks. Then came Tuesday’s big drop, followed by the market holiday, then Thursday’s big morning scare followed by a rally to close Thursday almost unchanged.
Lot’s of volatility. Volatility equals danger for your portfolio, in my view. So there is no reason for us to change our allocations at this time. We’ll keep holding lots of cash.
Have a great weekend!