October 29, 2026
By Peter Bower
As the Bull predicted, the stock market is beginning to stabilize. Earnings have been fabulous as expected. Interest rates are not a serious problem for our economy. The consumer is still in decent shape. To be sure, there are haves and have-nots. This condition will persist, but on an overall basis, things are good.
The seasonally difficult period of the year is coming to an end. The election is just a few days ahead. If this does not result in major surprises or deep contention, then we will have this out of the way soon too. If you prepared for this downturn by increasing cash reserves as we did, then it is now time to begin scaling back into the market. A little now, then a little after the election until you are back to your allocation target.
There may be more conflict with Iran. The war in Ukraine will surely continue. However, separate the noise from the factors that truly affect the value of companies. There will always be extraneous events that can affect near-term confidence and behavior. These usually do not last. Stay steady my friends.
-The Lonely Bull
