Boring, Boring, Boring. Stock Market.

When we talked with our financial advisor yesterday we both searched for words to describe this market and both came up with only one word "boring."  After thinking about it for awhile we decided that indeed that was exactly what we had with both the economy and this market. 

Well we are here to tell you, boring is good, in fact mighty good.  We value the market as fairly priced considering the near zero interest rate environment,  near dysfunctional US Government, and near no growth economy.  The market truly reflects the environment right now.  Let's examine what it means for investors and traders. 

For traders like us we find we must work a lot harder to find trades and score profits.  But we are ahead of last year's pace by a good bit and we expect the rest of the year to be the same.  A boring market means little chance for losses and specifically large losses.  On the other hand it provides good opportunities for above average profits for those willing to do the research and take the time to wait for trades and not chase them.

For investors there is the steady drip of stock market price appreciation via the Obama spending spree/Federal Reserve low rate environment and the financial engineering of corporate stock buybacks and dividend increases. Therefore a regular monthly investment in index S&P 500 funds and letting them drip, drip, drip to gains is the obvious choice.  This certainly is not get rich quick, but it is get rich slow and that is just fine with us. 

Boring is beautiful it seems.