The poor consumer confidence reading released by the Conference Board is good news for the stock market.
Past News ReleasesRSS
New York, NY (PRWEB) November 01, 2011
Profit Confidential, the popular stock market and economic e-letter, reports today that the poor consumer confidence reading released by the U.S. Conference Board is good news for the stock market.
According to Profit Confidential, “The New York-based Conference Board’s household sentiment index has slumped to the lowest level since March of 2009… Sure, the U.S. unemployment rate has held at about nine percent for about 30 months now. Sure, 8.75 million jobs were lost in the recession that ended June 2009. And with only about two million jobs created since the recession ended, the unemployment picture is not looking good. Consumer confidence is taking a beating…but this is good news for the stock market!”
Profit Confidential says that it is during times of extreme bearishness and negative consumer confidence that the stock market rises. Profit Confidential isn’t predicting that the stock market will double from its current level. But it says that investors, stock advisors, and consumers are usually wrong when the majority of them have the same opinion. The stock market has historically done the opposite of the herd mentality. Profit Confidential believes this time will be no different.
Michael Lombardi, a lead contributor to Profit Confidential, writes, “The more negative the consumer confidence reading, the more stock advisors that have turned bearish, the greater the chance the stock market will rise the ‘wall of worry’ higher. And that’s exactly what I believe is going to happen now. The poor consumer confidence reading released by the Conference Board is good news for the stock market.”
Profit Confidential, which has been published for over a decade now, has been widely recognized as predicting five major economic events over the past 10 years. In 2002, Profit Confidential started advising its readers to buy gold-related investments when gold traded under $300 an ounce. In 2006, it “begged” its readers to get out of the housing market...before it plunged.
Profit Confidential was among the first (back in late 2006) to predict that the U.S. economy would be in a recession by late 2007. The daily e-letter correctly predicted the crash in the stock market of 2008 and early 2009. And Profit Confidential turned bullish on stocks in March of 2009 and rode the bear market rally from a Dow Jones Industrial Average of 6,440 on March 9, 2009, to 12,876 on May 2, 2011, a gain of 99%. To see the full article and to learn more about Profit Confidential, visit http://www.profitconfidential.com.
Profit Confidential is Lombardi Publishing Corporation’s free daily investment e-letter. Written by financial gurus with over 100 years of combined investing experience, Profit Confidential analyzes and comments on the actions of the stock market, precious metals, interest rates, real estate, and the economy. Lombardi Publishing Corporation, founded in 1986, now with over one million customers in 141 countries, is one of the largest consumer information publishers in the world. For more on Lombardi, and to get the popular Profit Confidential e-letter sent to you daily, visit http://www.profitconfidential.com.
# # #