We hope you enjoy the long Thanksgiving holiday weekend.
We have a plump turkey defrosting… a caramel-and-apple pie on the counter… and plenty of fried onions for topping the green bean casserole.
Of course, we’re still watching the market, too.
The so-called FAANGs – Facebook (FB), Apple (AAPL), Amazon (AMZN), Netflix (NFLX), and Google (GOOGL) – are all officially down more than 20% from their recent highs. The broad S&P 500 Index is down closer to 10% from its peak.
But while our latest November magazine explored the idea of the “crash to come,” we don’t think the current market volatility qualifies.
Indeed, financial analyst and frequent American Consequences contributor Dr. Steve Sjuggerud sees it as an opportunity.
He says the “Melt Up” he’s been calling for since 2015 is still in full swing. As he recently wrote his readers in a private e-mail…
I still believe we’re going to see a massive Melt Up in U.S. stocks. And we’re positioned to capture the incredible gains that can come from it.
I urge you not to panic. I know it’s easier said than done… But instead of letting fear take over, take this opportunity to cross the threshold of becoming a great investor and realize that fear often translates into a great buying opportunity.
We’d suggest using this drop to buy shares of real businesses that you had previously put on your “watch list” but written off as too expensive… As Steve writes:
Once you learn to equate fear with the feeling of opportunity, you’ll finally be free to make a fortune in all of your investing endeavors.
Now here are a few stories we’re reading…
We keep warning you about General Electric… From $30… to $20… to $12… to $10… to $8. It’s going to get worse.
Holders of General Electric bonds are preparing for one of the world’s biggest borrowers to be downgraded to junk. To get a sense of what that might do to the markets, take a look back…
Despite the recent market decline, we’re still at “even” for the year.
“This looks like lingering worries about what triggered the October decline. That’s worries about an economic slowdown… I think these people are wrong, but they’re in control at this time.”
President Donald Trump is succeeding in making China pay…
With the economic costs shifted to China, the U.S. levies will lead to a $18.4 billion net gain for the American government…
Of course, U.S. farmers aren’t happy…
U.S. soybean exports to China are down 98% in 2018.
Read about a few self-sufficient folks who defied evacuation orders to protect their property from the California fires…
Armed only with a garden hose and buckets, they successfully fought the flames for 24 hours. At times, they had to lie down in the dirt to “avoid burning up” as 60 mph winds drove flames through the forest.Or if you prefer it colder, read this story about a race in whiteout conditions, temps as low as -50 degrees, and 60 mph winds…
The two men are each determined to become the first person to cross Antarctica alone without support — a 921-mile odyssey on ice through blasting winds that could take as many as 65 days. It’s a trek that killed a man two years ago.
And let us know what you’re reading at [email protected].
Publisher, American Consequences
With P.J. O’Rourke and the Editorial Staff
November 21, 2018