Gyroscopic Investing

I know we should ignore day-to-day results, but the PP today is a shocker.

As the old song goes:

"Mama said there'd be days like this
There'd by days like this, Mama said
CHORUS: '"Mama said, Mama said!'
Mama said there'd be days like this,
There'd be days like this, my Mama said"

Hah!  I started the PP in Mar 2014, got 4.04% return through Dec 31, and then doubled that late last month, in less than a month.  I should have known that was a bit too much to expect short term.

Looks like today will be a trifecta of big losers, stocks, gold and bonds.  At least that good old American dollar is still hanging in there!

Mike

No need to panic.  The down day Friday was due in part to some one-off events:
  - Gold crashed (along with silver and platinum) because the CME raised margin requirements for everything but stocks (an administrative move - likely in response to oil and overall market volatility)
  - This is something they like to do to beat down commodities, but its not a real shift in the gold market - just people covering the higher margin requirements
  - Stocks started the day up on the jobs report numbers, but then fell due to the Greek mess at the end of the day
  - Treasuries are correcting after hitting all time highs (low yields) that are unsustainable - if you look at the raw data treasuries peaked after an almost 30% runup in the last year.  They are overdue for a correction especially when we are facing a Fed interest hike potentially as early as summer.

I would not be surprised to see treasuries or stocks come down soon, but honestly I'm not great at predicting the future - only the past.

One thing I will predict is higher volatility in the markets - I think the swings are going to get larger before one of these bubbles (stock, bond?) pop.

mortalpawn wrote:   - Gold crashed (along with silver and platinum) because the CME raised margin requirements for everything but stocks (an administrative move - likely in response to oil and overall market volatility)

I guess it was no more of a real shift than when they last raised margin requirements....  in 2011.