Three Reasons Why You Must Be a Buyer In Today’s Market
The global rate cut is the first of three market catalysts that will trigger the flight to quality we’ve been waiting for, and the subsequent buying pressure that will cause our fundamentally superior Buy List stocks to surge.
The first catalyst, that we’ve seen, is the coordinated rate cut from Central banks.
The second catalyst, that you’ll see follow in short order, is a drop in over night bank rates banks charge each other to borrow money.
When this happens, my friend, you’ll see pessimism in the markets begin to vanish as the $4 trillion on the sidelines begin to surge back into the market.
The third catalyst will be the easing of the commercial paper market. This is the money that businesses rely on to cover regular operating expenses.
When this happens, watch out.
The velocity of money entering the capital markets could reach pre-crisis stage as businesses again have money to expand and grow operations. Together, these three catalysts will put the breaks on the market slide and trigger a stock buying boom.
I pray you are right. But............the liquidation of hedge funds happening now is creating a domino effecvt of panic that will overcome the 3 reasons you gave till probably after the election. Thats another thing. wHO IS GOING TO PUT BIG MONEY TO WORK TILL 'AFTER" THE ELECTION!