Time to panic?
The market continues to be a victim of aggressive sell off, taking the market to its lowest level since June. While all the energy is focused around the Debt-Ceiling crisis and a prospective loss of AAA rating, there have been enough clues to indicate that the economy is not growing even as slowly as it was anticipated. In my opinion, the latter has been obvious since much longer but is being noticed by investors only now!
The outcomes of the Debt-Ceiling crisis and the rating concerns, whatever they may be should not be earth shattering, but can potentially cause unrest in the market. Many economists are beginning to suggest that a sharp decline in the market is on the cards, adding to the unrest! So what do we do? Sell all we got? Press the panic button?
Well, those who have been members since a longer span, may be well aware of our approach! We just never panic! If it was a good time to invest 2 weeks back, it still is! In fact, it might just get better as the nervous investors drive quality stocks to cheap prices! We are perfectly okay to accept temporary losses or rather loss of gains in our case, while we continue to build our portfolio! We have quality stocks in our portfolio and they will bounce back!
We will watch the market closely for few days, before we plant our next recommendation! Stay tuned!