We see that stock futures are up right now–but anything that happens before 1 pm (central) won’t mean much for the last few hours of trading.
I think that we will see a fairly quiet market this morning because while I think I know what will happen at the Fed announcement and press conference one can’t really predict how investors will react–will common shares fly by 500 points up–or drop like a rock by 500 points.
I have noticed, just in casual observation, that income investors have been mostly buyers (those on this website and other similar websites), with some sitting tight (not buying or selling) like us and a smaller number of sellers. If we held our income issues outside of IRAs we maybe would have booked some losses, but most of our issues are in IRAs.
For those investors looking for extreme safety we have been watching the closed end fund AllianzGI Convertible and Income preferreds. NCZ-A with a coupon of 5.50% is trading at $22.98 for a current yield of 5.98% and NCV-A with a coupon of 5.625% is trading at $23.65 for a current yield of 5.95%. These 2 issues are the highest rated $25 preferreds in existence with a AAA rating from Fitch. These issues just went ex-dividend so the current yields are ‘stripped’ for the most part. We own a little of each and will likely buy a bit more next week. These shares, because they are perpetual preferreds, could have a fair amount of share price movement, but the level of safety is excellent