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Daily Market Update – December 20, 2016 (7:30 AM) Yesterday was a pretty quiet day and it doesn’t seem like today, or maybe even the rest of the year will be any different. At the moment, there are far too many people calling for the market to continue moving higher. Even though I’ve been one of those people, I’ve been happy to be adding to my cash position, especially since there are so many people thinking that the next stop can only be higher. One thing that history has taught us is that populism grows old very quickly. It’s much easier to carp than to govern, so we’ll see just how all of this comes together, although there has to be reason to be hopeful in the near term. A big part of that, though, has to be related to where we are finally on the economic cycle. One of the slowest recoveries in history is finally seeming to get some traction and it looks as if we are also finally going to get some fuel added to the mix. That may make things a little combustible, but it has been a long, long time since all of those cylinders have been firing. I still may want to dip into my cash pile, but at this point, I would be much happier if I could make whatever I currently hold go to work. That and getting a couple of rollovers for the week. I did try to make some of those rollover trades early yesterday and did really jump the gun on one that expires at the end of the month. At this point, I want to accumulate income, income, income. Even if it means tying something down longer. If that means holding onto something to get an additional 2% per month, I would be more than happy to be doing that ad infinitum. If only…. I don’t otherwise expect to be doing too much this week and I don’t expect the market to be doing too much today and maybe not again in 2016. Those expectations, though, do have a way of coming back at you. |
