As you might have noticed, the
markets are still undecided. A steady up and down leads the market. New news
from a bad economic figure leads the market into another direction.
The quarter season results are mixed for my private
assets. Some beat the market and others disappointed. Some said that the spring was too cold and they generated weaker sales. Today, British American tobacco announced such a news.
In total these risks are
balanced for my own portfolio. I would say that I have a bigger risk in the foreign currency USD.
Every cent, the dollar gets weaker; I lose a few thousand dollars only by a different
currency conversion.
The good thing is that the fears of investors result
in a stronger dollar. If the world economy gets weaker or the problems within
the euro zone rise, the dollar gets stronger and compensates all my stock price
losses. If I have a good day, the dollar gains more than the stock market lose
and I get overcompensated.
Well, back to the current situation. If the markets go
down for a few days by a five or more percent and the financial press post big
depressions on their channels, don't care about them. You have researched all
fundamentals of your company and you've made a good job in analyzing the world
economy with all the pros and cons. Don’t change your investment allocation if
nothing has changed.
