Stock Market Reality Check
In 1990, I was a bond broker. The Dow was rocketing toward 3000 points and we were furiously telling our clients that what goes up, must come down - that the banks were broke and 3000 was not sustainable - "Buy bonds, now, Bob!" At long last, the past twenty years of bull markets notwithstanding, it looks like we are finally vindicated. Sure, our clients who bought bonds made money too but most investors made money in the '90s.
Set aside for a moment that the Dow Jones Industrial Average should never have become the barometer of our economy the way it has (hat tip to cable news), take a close look at this chart of the Dow's history and remember, what goes up, must come down:
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