Commentary: Why investors who are ‘buying the dip’ are taking a big risk

CAMBRIDGE, Massachusetts: Having long been buttressed by ample liquidity, financial markets are entering the final quarter of 2020 amid an increasingly tentative global economic recovery, unusual political uncertainties, and lagging fiscal and structural policy responses.

Moreover, a growing number of companies in other sectors are pursuing “re-sizing” initiatives that will likely lead to less hiring or even a wave of layoffs. And now that a number of lawmakers have also contracted the virus, congressional deliberations on many vital matters have been delayed. Meanwhile, US participation in multilateral policy deliberations – not to mention America’s global leadership role more generally – remains curtailed.

Why is there any risks at all when FED has the back of the equity market. Don’t fight the FED.

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Why (and how) I plan to die with an empty bank accountIF 2020 has taught us anything it's that life is uncertain. Through this lens, I've started to abandon some conservative personal finance principles. This summer, for example, I went against the adage of 'staying the course' with retirement and stuck my hand in my individual retirement account (IRA) to shed some stocks. I also bought a house in what can be considered a risky environment. To date, I have no regrets. Read more at The Business Times. I will design Logo. If you need any types of Logo Design, Throw the link and hire me.
Source: BusinessTimes - 🏆 15. / 51 Read more »