I tuned into the House Budget Committee Webcast, Challenges Facing the Economy: The View of the Federal Reserve. It was very interesting, with serious accusatory questioning by some committee members. However, Mr. Bernanke handled himself well. I came away with a few positives and many negatives such as: inflation is not a problem yet, the probability of deflation has decreased, the Fed's borrowing is lower today than in the past, and so far the stimulus money has been effective in infrastructure spending and transfer payments.
However, the threat of a recession relapse is still possible, higher medical cost and social security depletion, caused by baby boomers retiring, could be problem sooner than later, and taxes may have to be increased to balance the budget. Since this is not an economic analysis blog per se, detailed analysis of the Chairman's statements will be left to another blog or person. What Mr. Bernanke testimony meant for me as a financial advisor going forward is that it's still going to be a rough ride ahead, so please adjust your portfolios accordingly.
On that note, the ProShares Technology Fund traded over 221,000 shares closing at $30.40 per share. I thought this was a little interesting, between 12 pm and 2 pm today shares traded on the fund was practically nil. I wonder what that was about? I still think the fund is a buy but you should be buying on market dips and not fund dips.
06/03/09 06:15 PM
If you are interested in trading this fund, would like a prospectus or have a question concerning this fund call me for a free no cost consultation at 770-572-2715. Please note: You should seek professional advice before implementing any of the strategies discussed herein, since: (1) The strategies are general in nature and will not apply to every situation; (2) Other opportunities may be better suited to your particular needs; and (3) The rules and regulations are constantly changing.
However, the threat of a recession relapse is still possible, higher medical cost and social security depletion, caused by baby boomers retiring, could be problem sooner than later, and taxes may have to be increased to balance the budget. Since this is not an economic analysis blog per se, detailed analysis of the Chairman's statements will be left to another blog or person. What Mr. Bernanke testimony meant for me as a financial advisor going forward is that it's still going to be a rough ride ahead, so please adjust your portfolios accordingly.
On that note, the ProShares Technology Fund traded over 221,000 shares closing at $30.40 per share. I thought this was a little interesting, between 12 pm and 2 pm today shares traded on the fund was practically nil. I wonder what that was about? I still think the fund is a buy but you should be buying on market dips and not fund dips.
06/03/09 06:15 PM
If you are interested in trading this fund, would like a prospectus or have a question concerning this fund call me for a free no cost consultation at 770-572-2715. Please note: You should seek professional advice before implementing any of the strategies discussed herein, since: (1) The strategies are general in nature and will not apply to every situation; (2) Other opportunities may be better suited to your particular needs; and (3) The rules and regulations are constantly changing.
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