We’ve told you for years to “ignore the Fed.”
Even Ben Bernanke, former chairman of the U.S. Federal Reserve, describes his old job as “98% talk and 2% action.”
Officially… the Fed’s job is to stabilize the economy – controlling inflation and encouraging growth – by setting the country’s monetary policy. When you oversee the world’s largest economy at around $19 trillion GDP, that easily makes you one of the most influential men in the world.
But Bernanke’s comments acknowledge the job is as much about managing the public’s mood as it is about manipulating interest rates and money supply.
And today, folks are optimistic… but also worried…
The three questions most people are asking now are:
“How long will the bull market last?”
“Should I sell before a crash?”
“Where should I put my money to make money?”
Sometimes I get these same three questions during the same phone call from the same person. With the market constantly marching higher, folks are getting worried. And they’re also afraid of missing out on the gains that seem to keep on coming.
I don’t blame them…
This has been a long bull run. Valuations have hit levels that justify concern. But right now, the market is still going strong. And if you know where to put your money, you can still benefit.
Bernanke and his successor Janet Yellen have communicated relentlessly with the public. The Federal Reserve signals every step it takes for months before it makes a move. The Fed prioritizing communication reflects the fact that the economy and financial markets are made up of people.
Behind every transaction is a human decision… Consumers buy and businesses invest when they are optimistic about the future. Nothing can get an economy humming again like a widespread belief that the economy is improving.
Right now, public sentiment is the dominant factor in the market. Investors are displaying a near-historic degree of confidence in the future. All this optimism has pushed the market to all-time highs.
And tonight, my friend and colleague Steve Sjuggerud has put together a special presentation on his “Melt Up” thesis.
According to Steve, we’re nearing the final stages of a market mania. Some investors might be tempted to just jump into the market, hoping for easy gains.
This is the time when most people make devastating mistakes.
That’s why Steve is releasing his “Melt Up Millionaire” Project tonight. It includes 10 investments that Steve believes will produce weighted gains of 100% or more in the next 12 months or less.
To learn more about Steve’s thesis and his new project, listen in tonight at 8 p.m. Eastern time.
Here’s to our health, wealth, and a great retirement,
Dr. David Eifrig and the Retirement Millionaire Daily Research Team
August 23, 2017