A time to heal
First and foremost, please stay safe. The end of the virus will occur more quickly if we limit the community spread. I am sure most of you know the virus is detrimental to those of us over 60. Please be careful who you are around as some people do not understand the danger they cause by the spread of the virus. It will not be long before we are back to a more normal lifestyle.
The recovery process began last week with a strong up week for the market. I wish I could tell you this will be quick. However, the process of bottoming after a selloff like the one we just experienced takes several weeks, maybe months to assess. What we do know is that the stock market is a leading indicator. We also know that by our work and a positive week for the market, it stopped going down.
There have been many discussions with clients and friends about the next course of action. The first step is that the market had to stop going down. Check. Now, we listen to what the market is telling us. The normal process is for this "relief" rally to only last a couple of weeks. Then a re-test of the recent lows could be in order. It is not required as the economy may bounce back rather quickly with the worldwide stimulus response. We will see.
The end of the quarantine will bring some relief to most of us. That looks to be at least a couple more weeks out. Once that is in effect we can begin to determine the recovery time. There will be some casualties. We hope the stimulus will minimalize these.
Thank you for your trust in us as we begin to navigate the recovery process. We will keep you updated here and in other channels. We are open for business (calls) even though we are working remotely. Please do not hesitate to call us if you have questions. We will be reaching out daily to clients as we are able.
Enjoy the day...R2