Will the panic sell off in China affect the USA markets?
Already for a lot of weeks now the commodities like oil and metals have sold off. So much so that many stocks like BHP and the oil patch have dropped 50% to 70% making their yields gp up and up in the process.
Many REITs also have fallen off 20% to 30% ... and yet the apartemtns remain fully rented etc ditto hospitals and warehouses. etc. Which remain low on fears of the rate hike by the FEDs.... a threat for the last six years that has not happened yet.. Commnets before the bell have come to the same conclusion... that the Fed rate hike this year looks more and more unlikely. And yet the REITs remain low... probably due to the fear of a rate hike in 2016 or 2017 or 2018... etc The older this market gets the less commonsense it seems to have.
With these already stock at or near yearly to five year lows with high yields resulting from the drop... how much lower can they go.? Yeah I ALREADY KNOW that they can go to ZERO... but that so rarely happens that it is not on the table for discussion. Point being we are near or at the bottom for these sectors... the same cannot be said for biomedical, Drugs, high tech etc etc.... we are in split personality market of all time highs and all time lows. Might consider taking money away from the all time highs and put it into the all time lows.. with high yields.
Yeah I am one crazy kind of guy but with my monthly revenues buying REITs, mid stream oil patch stocks, some shipping and container stocks... each month that I buy stocks it creates more income which I use to buy more stocks, which creates more income which I use to buy more.... etc etc you get the idea. But remember I am crazy and feel no inclination to change.
***PInewoodsBear***