• Skip to primary navigation
  • Skip to main content
  • Skip to footer
Mullooly Asset Management

Mullooly Asset Management

Fiduciary Fee-Only Financial Planner | Investment Advisor in Wall, NJ

  • Our Fees
  • About us
  • Schedule a Meeting

Market Bottom?

August 20, 2007 by Thomas Mullooly

Market bottom? Probably not. But the Federal Reserve is awake.

The Fed stepped in a week ago, and injected liquidity in the financial system. But wait: they didn’t buy Treasury Bills (like they often do). They bought mortgage-backed securities.

Weird.

Look, the Fed made “emergency moves” in the midst of a currency crisis and the Long Term Capital Market meltdown in the fall 1998. The Fed cut rates at their September meeting in 1998. Then two weeks later the Fed gave another “emergency” rate cut. Then they cut rates — again — a month later in November.

These were cuts in the FED FUNDS rate back in 1998 – real interest rate cuts that trickled throughout the economy to “re-liquefy” the financial markets. And the market went on impressive run for the next six months.

The cut the Fed made last Friday was in the DISCOUNT rate – a big difference. This is a nice, but small, gesture. It might be an indicator of more rate cuts to come.

I’m skeptical. Especially since the Fed announced this shift is only temporary. Hmmm.

The indicators I follow are at levels that say the risk in the market is actually pretty LOW right now. But these indicators have NOT started moving up. Market tops happen quickly, market bottoms take a while. Sometimes, a long while.

Lots of money can STILL be lost here. But it appears that anyone who has wanted to sell, probably has sold by now.

Curious if you’re OK? Don’t sit and wonder. Pick up the phone and call us at 732-223-9000.

One thing we’re NOT going to do is “anticipate” things turning around. I’ve learned to accept that “what is, is.” If the indicators start turning up, we’ll start putting money to work. If not, we sit tight.

Tom

Thomas Mullooly
Mullooly Asset Management LLC
Our Only Business Is Fee-Only Investment Advice
www.mullooly.net
support@mullooly.net

Never miss a post...and we deliver!

newsletter mailman

Get our updates delivered right to your inbox. Sign up today!

Success! Now go and check your email to confirm your subscription.

There was an error submitting your subscription. Please try again.

We won't send you spam. Unsubscribe at any time. Powered by ConvertKit

Filed Under: Asset Management

About Thomas Mullooly

Thomas Mullooly is owner and founder of Mullooly Asset Management, Inc. In 2002 Tom opened Mullooly Asset Management, a fee-only investment advisory firm. As an investment advisor, and not a broker, Tom works strictly for his clients. With the help of point and figure charting, Tom builds a realistic game plan for clients.

Footer

2052 NJ-35, Suite #203
Wall Township, NJ 07719
Phone: (732) 223-9000
Fax: (732) 223-9600
Email: support@mullooly.net

  • Privacy Policy
  • Disclosures and Legal Disclaimers

Useful Links

  • Contact Us
  • Client Login
  • Pay Bill Online
  • About us
  • Our Fees
Text Example

The information on this website and blog do not involve the rendering of personalized investment advice. A professional advisor should be consulted before implementing any of the options presented. None of the content contained in this website should be construed as legal or tax advice. Always consult an attorney or tax professional regarding your specific legal or tax situation.

Follow Us

  • Facebook
  • LinkedIn
  • Twitter
  • YouTube

Resource Center

  • Videos
  • Podcasts
  • Blog

Copyright © 2021 · Design by :- Eliza Jack