I spent all August following Russia’s aggression towards Georgia and could not dedicate as much time to the markets. Nothing has moved in the markets in August.
As we came into September, price of oil fell, dollar strengthened, euro collapsed, commodity and fertilizer companies got decimated. China, which drove commodities surge, is submerging into recession.
But, do not fret; September is historically a losing month. This fall is a good opportunity to load up on shares and be ready for September surge.
Jim Cramer says that this 5-day sell-off was due to hedge funds redemptions that have to be honored within five days of application (September 1)
S&P 500 Seasonal Pattern
S&P 500 Seasonal Pattern