Author: Kevin Shine, Shine Financial Services
Covestor model: Asset Allocation
Disclosures: None
Well, it looks like the government has once again delayed the day of reckoning for their enormous liabilities. I say “liabilities,” while the news only headlines “debt,” since Social Security and healthcare are future obligations but not part of the national debt. At some point they too will become part of the discussions. The problem is, the longer it takes to address them the bigger the austerity policy will need to be.
Earnings are all over the place, which solidifies my confidence in diversified investing. Also, new factory orders index plunged in the past month to near recessionary levels, so remaining defensive until there is a clearer picture appears to me the right strategy.
