Skip to main content

Weekly Market Review

Weekly Market Review

Good afternoon,

 

Ask and it shall be given you..: Matthew 7-7. Shortly after sending out the WMR last week with my message of enough is enough and let’s get things open again, the governor here in MI actually announced that gyms and pools and some of the other shuttered businesses would be allowed to reopen. Albeit at limited capacity and with a list of rules, most of which seem arbitrary to me, but I’m not a politician who thinks I know what’s best for other people. So that’s good news and way overdue. Even some high school sports will be able to take place. That’s good news as well. Here’s hoping that this health and economic challenge will be behind us soon.

                                

The markets have been a little more volatile this week with some multiple hundred point swings in both directions. Don’t fret, that’s what markets do. Don’t panic and don’t try to time your buying and selling in the short term as it cannot be done successfully with any certainty.  This smart guy says the markets are an “absolute raging mania,” and he doesn’t mean it in a good way, https://www.cnbc.com/2020/09/09/stanley-druckenmiller-says-were-in-a-raging-mania-and-the-next-3-to-5-years-will-be-challenging.html

He may be right. Or not, but It does seem that the market is performing better than the actual economy. I reviewed some of my comments from March and April, early covid, remember that?  Seems so long ago. And my opinion at that time was that everything would recover eventually, the markets, the economy, unemployment, etc., but that it would take some time. Well it turns out that the markets recovered much faster than I, or probably anyone, anticipated. The economy, after an expectedly horrible second quarter, is showing signs of recovery in some areas, but still has a ways to go. Unemployment is improving off the lows of a few months ago, but will take years before we’re back to the pre covid 3-4% range.  Don’t be surprised to see more swings, up and down, in the future.

 

The economy may seem shaky, at least certain parts of it, but these people are doing ok.  Here is the Forbes 400 Richest Americans list.

https://www.forbes.com/forbes-400/

Although, believe it or not, wealthy people have the same anxiety about money that the rest of us have. My clients don’t want to be rich necessarily, they just want to have enough money so that they don’t have to worry about money. That target is different for different people.

 

Oh, and here we are in an election year. Again. I sometimes have to remind myself that this election craziness happens every four years. Every four years, the people of the United States scream and holler at each other for months and months and then go to the ballot box and select who will become the most powerful person in the world. And no matter who wins, half of the country is unhappy about it. And four years later, we do it all again. As I think about it, it really is a remarkable system.  Similarly to how I pay little attention to economic predictions and reports, I don’t hold political banter or predictions in very high regard either. Continue to spend less than you earn and invest the difference in the constantly rising dividends of the greatest companies in world and your financial plan should work out fine.

 

This decision will not come as a surprise to anyone who understands how Hollywood operates, the Oscars will have diversity rules for best picture nominees in the future. https://www.nytimes.com/2020/09/08/movies/oscars-diversity-rules-best-picture.html  Just my opinion, but rather than worry about the composition of the cast or production crew,  shouldn’t they just make the best movies they can?

 

In a bit of sad news, the Kardashians may have to find real jobs as their reality TV show is being cancelled next year, https://okmagazine.com/exclusives/kardashians-fired-over-money-kuwtk/

Can’t say I ever watched the show, but the capitalist in me realizes that they’ve made a cottage industry of themselves just by being attractive and/or having cameras follow them around. Given their previous popularity, somebody must have been watching all this time, but it wasn’t the WMR. And we’ll conveniently skip the discussion of our opinion on their impact on teen and tween girls.

 

This week’s chuckle is more of an OMG, how’d he do that? Moment…

Here’s magician David Blaine on the Tonight Show with some incredible card tricks.

https://www.youtube.com/watch?v=Z8Ws4PEky28

We recently listened to David Blaine on the Joe Rogan podcast. Which was, umm, interesting. Blaine seems like a very smart and very talented person, and we’ll leave it at that.

 

Watching him reminded me of the time I was in Las Vegas and saw David Copperfield perform live. At the beginning of the show he appeared out of nowhere on a motorcycle. At the end of the show, he made a bleacher full of people disappear in front of our eyes. And I had great seats to witness it from. To this day, I have no idea how he did it. Amazing.

 

LF26 – Everything is different, but nothing has changed.

 

Have a great week and stay healthy.

 

 

The opinions expressed are those of Michael Acho and not necessarily those of Lincoln Financial Advisors Corp.  CRN-3236773-091020

 

 

Michael J. Acho, MBA, CFP®
Private Wealth Advisor
---------------------------------------------------
Lincoln Financial Advisors/Sagemark Consulting
1000 Town Center, 26th Floor
Southfield, MI  48075
248-948-5100 direct
248-948-5101 fax
248-933-4339 cell
Michael.Acho@LFG.com

www.weeklymarketreview.com

http://lfamichigan.com/page/michael-acho

http://www.linkedin.com/pub/michael-acho/27/913/3a8

If you do not want to receive future emails, please call me at 248-948-5100, or email me at michael.acho@lfg.com or write me at 1000 Town Center, 26th Floor, Southfield, MI  48075.

Lincoln Financial Advisors Corp. and its representatives do not provide legal or tax advice.  You may want to consult a legal or tax advisor regarding any legal or tax information as it relates to your personal circumstances.

Please do not send any trading or transaction instructions through this e-mail. They will not be honored or executed. Should you require immediate assistance, please call the Lincoln Financial Advisors Trade Desk at 1-800-237-3813.

Michael J. Acho is a registered representative of Lincoln Financial Advisors Corp.

Securities and investment advisory services offered through Lincoln Financial Advisors Corp., a broker-dealer (member SIPC), registered investment advisor and an insurance agency. Insurance offered through Lincoln affiliates and other fine companies. CRN-2567394-060419

See Lincoln Financial Advisors (LFA’s) Form CRS Customer Relationship Summary, available here, for succinct information about the relationships and services LFA offers to retail investors, related fees and costs, specified conflicts of interest, standards of conduct, and disciplinary history, among other things. LFA’s Forms ADV, Part 2A, which describe LFA’s investment advisory services, Regulation Best Interest Disclosure Document, which describes LFA’s broker-dealer services, and other client disclosure documents can be found here