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Strategies & Market Trends : Buy and Sell Signals, and Other Market Perspectives -- Ignore unavailable to you. Want to Upgrade?

To: Mevis who wrote (180278)	10/8/2022 2:18:39 PM
From: codfish23	1 Recommendation Recommended By GROUND ZERO™ Respond to of 219036

That is my exact plan, Mevis. Stay mostly in cash for most of the next couple years, trade the futures given the proper set-up. There will be some excellent trading opportunities along the way, both long and short. I think when we do bottom, it won't be a V-shaped recovery like 2020. Too much to overcome

To: Mevis who wrote (180278)	10/8/2022 2:54:58 PM
From: Machaon	1 Recommendation Recommended By GROUND ZERO™ Respond to of 219036

Currently I am mostly in cash. I'm 78. I am more interested in a stable return than hitting it big, like what I wanted when I was younger. I am eyeing the two, three, five or ten year treasuries. Historically, the 10 year stays higher than the fed funds rate. So, if the Fed funds rate hits 4.5% by the end of this year, then the yield on the 10 year should be at least 5%. Interestingly, the two and three year are currently higher than the ten year. I am waiting patiently to see if the Fed is going to raise fed funds rate by another $.75 (or more) on November 2nd. The PPI this Weds and the CPI this Thursday should tell us more and possibly have quite an effect on the market! I started a small position, probably too early, in PFF Friday, the largest preferred stock etf, which just paid at 6.49%, if annualized. PFF gives me liquidity better than the treasuries. Another factor is that the Fed is expected to continue to raise rates going into 2023, until there are definite signs of inflation coming down. But... with energy costs going up significantly, and a huge Fed balance sheet I wonder if the raising of interest rates could have a reverse effect and cause inflation to remain high. Businesses can only cover the increased interest costs to a certain extent.