Tuesday, May 15, 2007
Todays Market 5/15/2007
The market is closed for the day and it looks like another record breaker for the Dow! If you told me three weeks ago that we would be at 13,383.84 at the mid point in May I would think you were crazy. Sell in May and go away! what has happened to this investment strategy? Will 2007 just be an anomaly year? Before we jump to conclusions it looks like the market wants to go bearish tomorrow. With Walmart coming out after hours saying they do not think they will meet Wall Streets expectations and the Dow futures looking lower it could be a down day in the market. The market appears strong, but a correction will likely occur sooner than later. Don't hold me to this, but I could see a 1,000 point correction by the end of June putting the Dow down to around 12,500. There are still some undervalued stocks out there mainly in the mortgage industry (CFC), and some of these REIT'S that look very cheep for the long term investor. These are great for an IRA that does not have to pay taxes on the huge dividends that the REIT's will pay.