Market Thoughts: Hurricane, Election & Fiscal Cliff
Just recently I sat down with my good friend Mike Iscovitz at Fox to discuss the markets. With the election just ahead and the damage from Hurricane Sandy still being sorted out there is the potential for another Bush-Gore voting debacle in the days ahead which could hit the markets. Of course, the fiscal-cliff is looming large and like "Thelma and Louise" we are rapidly approach the edge without much talk of how it will be addressed before the critical year end.
Worries over tax hikes, negative earnings, the recession in the Eurozone and slowdown in China are all potential overhangs that could impede the markets into the year end. Holding some extra cash with a heavier allocation to fixed income is likely to pay dividends between now and the end of 2012.