There is a saying on Wall Street: As January goes, so does the year. At this moment, market action would infer that 2014 is going to be a negative year for stocks. According to recent article in Forbes, which studied the data from 1950 - 1984, this was true roughly 90% of the time when January is up and 70% of the time when January is down. GGA has no idea how the month will end, but the early action is not looking good. Some economic reports are coming out this week, but we do not see them making markets jump up or down. Fourth quarter earnings are kicking off which will guide us through the rest of the month. Expectations are moderate but the markets are currently trading at a premium, so good numbers are needed to provide a catalyst for higher markets. If earnings do not materialize, it will be a bumpy road with moderate returns at best.
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