We made it through the first half of the year and, contrary to almost every financial analyst prediction, the markets were positive.
The Standard & Poor’s 500 stock-index closed out the first half of the year at 4450.
I distinctly remember all of the talk of recession and that the index would test last year lows around 3600 or lower. That is not to say that this market hasn’t overcome some significant hurdles.
We had the banking crisis early in the first half.
There were continuing rate hikes that moved the Fed Funds rate up over 500 basis points in less than a year.
There are continuing concerns over what will happen with Taiwan and the Ukraine war.
I could go on, but you get a daily dose watching the news.
Of more importance to you and me, is not what has happened but what will come next.
Only the most optimistic predictions forecast the S&P 500 climbing to 4500.
There were several recent forecasts that the end was near and only they could save you from the catastrophe awaiting us all financially.
If this is what they call bad times, I am all in.
For those who stayed with high tech, it has been rewarding.
Apple, for instance, has climbed in value to top $3 trillion.
Tesla has not made it back to the highs of 2021 due to the Twitter purchase, but they have come back strong.
Tesla delivered over 466,000 vehicles in the last quarter and will announce earnings next week.
It goes without saying that Nvidia is the darling of the chip market.
Microsoft may win its merger with Activision as the FTC case was poor at best.
Google and Facebook continue to post higher earnings and values.
The FANG stocks are not dead yet.
Moreover, the long-awaited recession is yet to evidence itself.
I admit that I seriously doubted the Fed’s ability to provide a soft landing while raising interest rates to fight inflation.
History is on my side, but there is always the first time.
Things are going so well that the current Administration is touting its economic achievements.
As they say in baseball though, it is no time to celebrate until the last out is made.
We have six months until the end of the year.
It is really nice to be where we are given all of the things this market has overcome.
I, for one, will be grateful for unexpected favors and keep looking for value where I can find it.
Buffet went overseas to Japan to invest in five trading companies and has been rewarded as the Japanese market has been more robust than the US.
With all of the choices, there is always something out there that has been overlooked.
