Equities, Stock Market, U.S. Dollar, and Gold

5 Replies

There are times when the markets are irrational where 1 + 1 does not equal two. Markets can be irrational in the short term, but eventually comes back to rational levels in the long term. 

At the bottom of the stock market crash in March 2009 where the DOW reached levels below 7000, the Dollar index soared to 89. Today the DOW has reached above 18k and the Dollar index just broke above 90. Something in the air is just not right. When something does not feel right, and fundamentals are out the window, I stay far away.  

Medium jcrp logoJames Park MBA, Johns Creek Realty Partners LLC | [email protected] | 678‑865‑6250 | http://www.johnscreekrealtypartners.com | GA Agent # Broker 344981, CA Agent # Broker 01894781, GA Lender # NMLS 157229

@James Park 

As a stock investor, I have been moving slowly in the market. Prices are high, so no need to put in a lot of money these days. 

Interest rates on fixed rate mortgages are great at the moment, that's where I recommend putting your attention

There two critical numbers here. The dollar index reached 89.62 when the market crashed in march 2009, another spike took place April of 2010 at 88.51. I mentioned before once this index breaks above 90, it is game over, especially for commodities. Today the dollar index reached 91.15.

Medium jcrp logoJames Park MBA, Johns Creek Realty Partners LLC | [email protected] | 678‑865‑6250 | http://www.johnscreekrealtypartners.com | GA Agent # Broker 344981, CA Agent # Broker 01894781, GA Lender # NMLS 157229

There are two critical numbers here. The dollar index reached 89.62 when the market crashed in march 2009, another spike took place April of 2010 at 88.51. I mentioned before once this index breaks above 90, it is game over, especially for commodities. Today the dollar index reached 91.15.


Medium jcrp logoJames Park MBA, Johns Creek Realty Partners LLC | [email protected] | 678‑865‑6250 | http://www.johnscreekrealtypartners.com | GA Agent # Broker 344981, CA Agent # Broker 01894781, GA Lender # NMLS 157229

@James Park 

I stopped investing in the market 9 months ago.  I still have money in the market but I'm not dollar cost averaging anymore.  The reason is because my money is paying me back more on a monthly basis with rent, mortgage reduction, and tax benefits, then it ever was with dividends and capital gains.  In 2017 I'll start dollar cost averaging again if my rental goal has hit its mark.