Market Mayhem

Since my last blog update on May 31st, the stock market has continued to fall, with few meaningful rally attempts. Looking at the averages, the Dow 30 Industrial Average has given back all gains since March 9th, the S&P 500 since year end, and the Nasdaq Composite erased all since last November 1st. Bonds and cash have been the best places to hide. I had been reducing stock exposure starting May 15th as key support levels were broken (50 and 200 day moving averages). Mutual Fund accounts have been in full cash positions since May 30th.
The markets are dictating that we stop buying, sell the weak holdings and wait for a more favorable time. If losses are kept small, there's a better chance to 'catch up' and earn gains back later (hopefully this year).
-B.U.