Tuesday, September 13, 2011

The Market Could Crash So Buy Stocks Now

S&P Could Fall 20%, 2-Year Treasury Hit 0%: Analyst

Ever wonder why the public doesn't trust Wall Street? Merrill Lynch's technical analyst is predicting the market could crash. If you think that could happen then it would make sense to move to cash but Merrill doesn't make any money if you just sit in cash, so what is her advice?

"Bartels suggests buying consumer staples, mining stocks and betting against consumer discretionary stocks to protect from the decline and volatility."

Why not just move to cash to protect from the volatility?


  1. Because you make more money their way and lose money in cash because of inflation.

  2. You make more money by buying stocks right before a mega market crash? That's an interesting trick. That didn't work too well in 2008. Who cares if cash doesn't keep pace with inflation, it is better than losing 20% in the market and preserves your money for times when the potential returns outweigh the risks.