We have witnessed nine straight weeks of gains in the market with the S&P 500 climbing nearer to 7600.
When you reflect on the earnings, you have to think that this is not the bubble of 2000.
Of course that comparison is not going away anytime soon.
Last week, Dell Technologies posted far greater than expected earnings.
The ability of tech companies to make money outside of Nvidia continues. The demand created by the rollout of data centers is spreading across the economy.
I know there is serious concern about the demands on energy and water for cooling, but it simply appears the cow is out of the barn and not coming back.
I can handle negative comments as long as the earnings continue to expand, as they are now and are projected.
All I am saying is that the markets’ problems, as I see it, have nothing to do with AI taking over the world.
What does concern me is how governments and the public continue to pile on debt.
Never forget that the last financial crisis came about due to the government basically endorsing the mortgage loans that had little or no chance of being
paid off.
Our government continues to pile on debt and citizens are not much better.
The bill always comes due. The problem with debt is it creates instant gratification. The only real answer is a booming economy that allows us to increase our income.
The crash comes when we finally can’t ignore the enormity of the wave coming at us any longer. There are simple solutions, but they require sacrifice.
Politicians can’t get elected asking voters to sacrifice. Without question, we need to cut spending. We need to cut waste. We need to make sure we are all contributing by paying our fair share of taxes.
This is where the rubber meets the road. No one believes they aren’t paying more than their fair share.
Good luck solving that math.
We have moved into the month of June and it is time for most to escape to someplace where you don’t have to contemplate what bothers them.
Many are already off to the beach or headed to the mountains.
Now that I have recovered, I plan to do exactly the same in the coming weeks.
First, I will head to the coast and then to the mountains. I wish I could say that this would be a vacation but there is much that needs to be done.
I am one that doesn’t mind doing much of the required maintenance myself, but that is not exactly how the travel agent sells vacation travel. Some would just pay others to get things done, but that is becoming harder to get done what you want, when you want, for what you want to pay.
So I will take on my alter ego, the caretaker aka Juan and take solace that I can at least accomplish some tasks at this advancing age.
When you keep it in perspective, it isn’t all that bad given where I find many of my contemporaries.
But I do admit to being a bit cheap also.
We have been graced this year with an abundance of rain. Here in the Hill Country, we still have a lots of wildflowers blooming. Of course that also aids the growth of grasses and weeds.
I realized last week that a lot I owned needed to be mowed.
The grass had grown so much that it took twice the time to get the job done. Don’t get me wrong, I am beyond grateful for the moisture, just need to be more diligent.
It is much like the market. When things are going as well as they have so far this year we tend to relax.
Not a great idea. Take this time and make sure that the items in your retirement account do what they should.
If you have investments in a company that is not participating, take it off the board.
I know that creates the problem of finding a suitable replacement, but consider yourself smarter than most. Moreover, if it is in your retirement account, you don’t have to factor in tax.
I never understand why taking a profit so bothers people. Of course, there is always the fear that it will continue to gain and you will miss the opportunity.
You also may be avoiding a drop in price.
There is so much out there to consider.
I know that takes some effort, but nothing comes to you without some energy on your part.