By Justin Turner CIM, DMS®, CFP®
On Chairman Ben Bernanke’s final meeting, the Federal
Reserve decided to finally taper their bond buying program by 10 billion, which
came as a surprise to many market participants. For many, the bigger
surprise was that the market reacted positively to the news and has had a huge
rally which has continued and may continue through to the New Year.
Despite fears of the potential negative implications of the Fed tapering, the
fact that they decided to go ahead with it shows that the economy is most
likely on its way to being able to stand on its two feet without the massive
amount of liquidity currently being injected
into the US economy. Only time will tell if their decision was the
correct one, but for now the market is content evidenced by all of the major US
stock indices reaching new highs.
On behalf of the Orgil Wealth Management group, I want to
wish our clients, friends, colleagues and readers Happy Holidays and a safe and
Happy New Year. Let’s hope 2014 brings us positive markets once again.
