Biggest Market Crash predicted for 2016

For Buffet it is trains and the electric companies , solid assets that will prosper no matter what happens.

 

It's an easy prediction to make. In the last 10 years there has been a downturn in the market each September, and the big correction in Sept. 2008 made it a yearly fear point for at-risk investments. Watch for a sharp downturn after Labor day and a slow rise back to the norm by the first of the year. The only two scary points this year seem to be the election and low oil prices.

 

I am so surprised to see alot of 'normalcy bias' from site members. There are a number of difference this year. There are dissertation written on this site. The crash won't be obvious. ..just keep watching your grocery and among prices. The value of the dollar is undergoing major devaluation this year.

The baby boom is retiring and starting to withdraw from there 401k's we are about to hit the peak of withdrawal.

Just a couple of indicators.

We aren't going to have a major upheaval but it's about to get expensive to make ends meet

 

Word on the street is tire warehouses are filling up with inventory.
People juse are not buying up winter snow and ice tires like usual for this time of year.
I did my part I bought a set about 2 weeks ago.

One of the early signs of economic downturn is warehouse inventory filling up, from stuff just not selling.

 

price of copper wire and steel pipe is down

 

Several stores are closing around here that were actually good functioning businesses.

 

What this comes down to is investing philosophy, who got out at 2008 is crying and who stayed is laughing all the way to the bank. You need to invest in both a doomsday scenario and in a Pollyanna one. Diversification should not only be in assets but also in philosophies.

 

I'm perfectly happy to have never gotten in and thus never having to get out.