"The four most dangerous words in investing are, it’s different this time." — Sir John Templeton
As you can see from the first graph below stocks and bonds have performed well post peak inflation times. Have we reached peak inflation? I don't know. But I do know we are closer to reaching it today than we were 1 year ago. Right now, I believe stocks are still about 19% over valued based on the current price to earnings ratio of the S&P 500.
I suggest we remain patient while the markets are correcting because it is virtually impossible to pick the bottom. The last 2 bottoms have experienced sharp spikes up. For example on March 2nd, 2009 the market bottom and then went up about 55% over the next 6 months until September 14, 2009. Another example was on 3/16/2020 from the bottom of the COVID scare to 8/24/2020 (less than 6 months) the market went up 54%. Not something we want to try and time, I promise you. Stay the course and put your trust in God. If you want some more protection, while still being able to participate in the US stock market gains then set up a meeting here with me:
I don't sell financial products and am fee only. I only sell advice, as you know. My fee remains the same regardless of what you invest in. So please call if you are worried about the markets and your investments, I can help you through this time.