Recent weeks have shown just how rapidly market conditions can shift. Just a few weeks ago, investors in the stock market were feeling optimistic. On the first day of the month, the DOW closed at an impressive 13,279, marking its highest point since December 2007.
It seemed only a matter of time before the DOW would surpass its all-time record of 14,164 from October 9, 2007. The atmosphere was charged with anticipation. However, not everyone was convinced; some chose to sell instead.
“Sell in May and go away,” warned the seasoned investors.
This advice appears to have proven sound for those who took heed. Since May 1, the DOW has taken a hit, plummeting 6.3 percent, akin to a weary mule under heavy load. Yet, there are concerns that the situation could deteriorate further.
Renowned economist Marc Faber cautions that if the stock market continues to rise, we may face a crash reminiscent of 1987. Additionally, author Chris Martenson warns of the looming threat of another crisis akin to that of 2008. Only time will reveal the accuracy of these predictions.
Meanwhile, the decline is not isolated to stocks; commodities like oil, gold, and copper, along with housing prices, are also experiencing a downturn. However, not every sector is suffering losses. Continue reading
