Summer time; maybe not so easy!

Rising oil prices will have significant impact on inflation measures and will justify a modest interest rate rise. Stock prices only temporarily ignore interest rates and the prognosis is for a correction in the low double-digit range.

What to do?

For me and my type (comfortably retired), the answer is little or nothing. Our portfolios include quality corporate names and large unrealized gains. Dividend income is supplemented by distributions from tax-advantaged closed end municipal funds.

This is not a time for investment initiative as lower prices are likely. Also, risk should be controlled by emphasizing credit-worthy companies and avoiding the leverage schemes promoted by private equity sales people. In the meantime,

Know what you own and own it directly.
Avoid disruption. In an Amazon world, all retail is at risk.
Dividends matter.
If, like me, you must speculate, do it on the short side.

In the best case, the expansion cycle will continue through year 9 and beyond but the probability is there will be a pause. The consequent decline will be a buying opportunity.

BizProf100