As I wrote in my last post, I've been very cautious of the markets over the past month, and still continue to be. Unless you've been living under a rock, it's evident that our politicians in Washington are more concerned with their own political ideological views (Republican/Democratic agendas) than with moving this country forward. Our economy and housing markets are slowly rebounding but with the constant negative news out of Washington investor (and consumer) confidence is vulnerable.; this is the main reason the markets have been performing poorly over the past month.
Since we don't control our investment destiny during this period, it is time to sit on our hands.
The market will be very influenced by news over the next two weeks, especially of a government kind. With respect to all these concerns and crosscurrents, it is time for me (and I would suggest the same to others) to be less exposed to the markets at this time.
Proceed with caution b/c sometimes it's better to preserve capital rather than grow capital....
