This quarter, the market recovered from one of the worst 4th quarters (2018) in a century.  I was cautious then and remain of the same thinking to start off this year.

When a company, like Federal Express, lowers numbers and offers a profit warning-  I think this is the alarm going off and we should simply not hit the snooze button.  Does this warning mean it is doom and gloom?  No, not at all.  It just means – going forward quarter over quarter and year over year – company comparisons will be more difficult.  With the market at the high end of its range, investment choices become more selective. 

So then one may ask:  “Why is the stock market going up?”  The market is moving up because bond yields are low, interest rates are low and, at the moment, there is no better place to put your money.

In the short term, this aforementioned argument is fine. although, in the long term, stocks trade on earnings and with companies struggling to meet numbers; I choose to remain cautious/ neutral in this environment.