Hello, this is the weekly Market Alert video for the week ended Friday the 14th. We missed Friday the 13th by one day. Now you may notice that I’m not wearing my tie today. I’m actually on vacation. But as they say, “The show must go on!” And so we’re producing this video for you to give you an update on what’s happened in the week we just ended, and boy did we have an eventful week!
First of all, we had very, very high inflation numbers coming through which scared the markets and investors thought, “Oh, my gosh,” but as we’ve described, those are the effects of the recovery being faster than the supply can come online to satisfy. And therefore, we’re seeing how that kind of thing can create inflation. But again, to use the word of the summer—“transitory” is what we see these inflationary effects as being.
Then of course, we had the ransomware guys who apparently figured out how to get $5 million from Colonial Pipeline in ransom and shut down a lot of the gas pipelines. And so that created all kinds of havoc around the country. All of those things conspired to have the markets, the Dow and the S&P have a significant down period. But they recovered nicely here in the last couple of days, and we came within just a breath of 35,000 on the Dow, so we were getting ready to celebrate that our Fearless Forecast was right once again. It came 34,700—so pretty close, but not there yet!
We do think we’re going to get there, though, despite what’s been happening here in the last few weeks, or this last week, with inflation and with the pipeline and all the kinds of disruptive things that are coming from such a rapid recovery from such a deep trough that we were in.
It’s going to be uneven, lumpy one. And but that’s the nature of the beast, it appears. We don’t think it’s going to be anything lasting, and we do believe we’re going to see new all–time highs heading into the rest of this year. Now, of course, as we always say, “We could be wrong.” And if we are wrong, then our Invest and Protect Strategy™ is there to help us to protect you in the event we have a big swoon in the markets, and something terrible were to happen. But right now, we don’t see that.
We continue to see the recovery increasing and the people who were not working because they were getting the stimulus check those stimulus checks will run out and we’ll start seeing the jobs numbers pick up. As we go into the future, companies will start to make more profits and as that happens, stock prices will rise.
So right now, it looks pretty bright. But as I said, things, as we know, can change in the blink of an eye. And we want to be ready for that. And we are. And I’ll tell you one of the things that’s very gratifying for me because I invest my money the same way that we invest yours. So the Invest and Protect Strategy™ is there to protect me as well! And I can tell you when I’m on vacation, it’s nice to know that the Investment Committee is there to back me up and that if something were to happen and the markets were to fall dramatically, we’d have our Invest and Protect Strategy™ protecting me as well. So it’s a nice feeling for me, too.
I hope that you’re having a wonderful summer, or spring, should I say, heading into summer and I hope that all is well and that you are enjoying your second childhood without parental supervision. And we’ll look forward to seeing you soon in person where we’ve got some events planned coming up that we’re going to announce.
So the sky is blue, the sun’s shining and things are looking up. We hope you are well, and we thank you for watching this video. Now please click the box that you see there to subscribe and also to share this video with friends and family. We encourage you to do so we want as many people to benefit from our message as we possibly can. Okay, subscribe to this video and have it downloaded automatically for you. Alright, thank you for watching and we will talk soon!