The article I link to below expands on the themes I bring up in my weekly video. You want a double dose of “emotional selling”? You know you do. Click on the link.
Don‘t forget the unexpected happens. The “Peace Dividend” after the Berlin Wall (quite a euphoric event) saw the next 2 years in a stock market recession.
After 9/11? 6 year stock rally ensued.
It is uncertain the long term effect of the Japanese troubles. Let’s not make long term decisions based on short term emotions.
That’s what separates the amateurs from the pros. Be a pro.
Japan has been in a continued recession for the past 20 years.
The deficit levels of the Japan government are among the highest of the developed countries, and expected to increase in the coming years.
This is not good news for Japan. As the rating decreases, the extra premium paid to borrow money goes up. So, a 3% cost of borrow might increase to 4%.
Anyway, this is something to watch as the United States deficit to GDP is increasing rapidly.
