It feels like the playbook for the last few weeks has been the same. A few down days, and usually one (maybe two) big up days to balance it out. Sentiment, however, seems to be shifting even more and more pessimistic as the down days pile up. Is the bearish consensus a contrarian indicator that we’re nearing a bottom? I guess we’ll just have to wait and see.
Here’s what I’ve been reading this morning:
‘Is the Stock Market ‘Cheap Enough’ Yet?’ – Josh Brown – The Reformed Broker
- This is kind of a loaded question. It really depends on your time horizon for your investments. Instead of worrying about the valuations in the market and if they’re cheap enough to buy, Josh lays out two different scenarios for how this market downturn shakes out.
‘How Long Do Bear Markets Last?’ – Ben Carlson – A Wealth of Common Sense
- Some indices and stocks have been in a bear market now, and the other major indices are closing in on the “down 20%” threshold. So with that in mind, typically how long do these things last? Ben looks back in market history for the answer.
‘A Few Beliefs’ – Morgan Housel – Collaborative Fund
- Every once in a while, Morgan writes a post like this one. It’s a collection of his own personal beliefs that stretch a number of different fields and apply to pretty much everybody in some capacity. Quick one liners that are good to remind yourself every so often.
‘6 Advisors Answer: What Would You Tell an Investor With $1,000 to Do Right Now?’ – Alisa Wolfson – MarketWatch
- With the stock market well off the high water mark, and bonds having an equally difficult time this year, this post poses a good question. Our very own Brendan Mullooly shares his thoughts on this question in the post as well. Check it out!