In the past, we have mentioned that investors should not focus on politics when it comes to the markets. Presidential decisions have very short term emotional impacts on the market. The best example is that investors were told to sell stocks if Trump was elected. Many people did this, and are now very sorry. We constantly need to be reminded that the Fed, market fundamentals and economic growth will dictate the long-term stock market outlook, and not the President.
As posted in our December 12th blog, (and the market has appreciated almost “0” from the high), Granite Group still believes there is limited upside in the short-term. We would wait for a better entry point. We are still confident in the long-term.