Bob Brinker Update for Aug 2006
Summary of Bob Brinker's Market Comments on August 19, 2006 Moneytal
This is a list of bullet points for what we heard Bob Brinker say about the market and economy on "Moneytalk."
08/20/06
Please add your summaries to the show in our Bob Brinker Free Discussion Forum. If you help today, perhaps when you miss the show you can benefit from the work of others.
Bob Brinker recap of August 19, 2006 Moneytalk show:
- Bob is bullish on the US Stock market
- Bob does not see a recession at this time. [Kirk's Editor Comment: Federal Reserve chairman Ben Bernanke stopped raising the Fed Funds rate which made Bob very happy since rising rates can choke off economic growth and cause a recession.]
- Bob said he was happy with the bond market and patted himself on the back for his call to own bonds.
- Bob said he was happy with the stock market and patted himself on the back for his call to go to fully invested in March 2003 where the S&P500 is up about 67% when you count reinvested dividends. [Kirk's Editor Comment: It has been an excellent time to be in the market. My newsletter Explore Portfolio is up 96% since March 9,2003. Since the market bottomed in October 2002, it is up 117%!]
- Bob said the S&P500 may reach 1350 to 1400 by year's end or second half of next year. (Read allancoleman's full summary.)
- Bob had a caller who had the vast majority of his portfolio (over a million) in one oil stock. Bob told him to sell and diversify (into total stock market) down to near his recommended 4 percent. When pushed for a timeframe for the selling, Bob said he'd be comfortable to have the caller sell over the next nine months. I don't think Bob would make that recommendation unless he felt the Bull market would still be intact over that time frame. (Read retiredinprescot's full summary.) [Kirk's Editor Comment: I think I heard Bob say he'd settle if pushed for 10%, then he'd work on the guy getting it down to 4%. Bob also said he didn't think the stock, CVX, would go out of business which made me think of Lucent (which going from $60 to $2 might as well have), Enron and Worldcom. ]
- JeffChristy wrote: I couldn't disagree more with Bob Brinker's advice to sell Chevron/Texaco at this time. It is my third largest holding. I purchased it back in 1993 and it is worth over 3 times what I paid for it. Read all of JeffChristy's post for a well writtent but different opinion.
Please add anything I missed to the Bob Brinker FREE Discussion Forum and I'll add it to my list.
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Kirk Lindstrom:
DISCLAIMER: Answers & my words are general in nature, are not meant as specific investment advice, and do not necessarily represent the opinion of anyone but Kirk. Individuals should consult with their own advisors for specific investment advice.
