The S&P500 is off 2.07% at this moment–seemingly routine after a big up day yesterday. All I know for sure is I am glad that I don’t hold any NASDAQ stocks–that would be painful–my conservative income issues provide enough pain. So off 13% or so from all time highs–probably a ways to go to the downside–really I have no idea–I gave up trying to predict market moves years ago.
I think overall I am off about 3% this year–fortunately I hold bucketsful of term preferreds which have hung on well relatively speaking–plus I still have plenty of dry powder.
Yesterday I went ahead and took a nibble on the Hennessy Advisors short maturity (2026) 4.875% notes. I already had a full position of this one–but the price fell to $24.70 – $24.80 area yesterday so added another measly 50 shares. I had been adding investment grade issues in the high 5’s to 6% and already have a bucketful of perpetuals now yielding over 7%.
Still have not sold anything for months. I want to buy the new RiverNorth Opportunities 6% (now RIVOP) which has been sold down to as low as the $23.25 area–now at $24.00. Unfortunately Fidelity won’t let you buy pink sheet issues–and now that eTrade is owned by Morgan Stanley they have now gone the same ‘nanny state’ route and won’t let me buy there either. This issue has been trading pink sheets for 14 days–what the hell is that about–I’m thinking that since potential buyer can’t buy it is taking this long to unload the shares–if true it serves them right.
So next Tuesday we have the FOMC meeting and will no doubt get a 50 basis point rate hike on Wednesday (although every day we hear more talk of 75 basis points). So once again we will have another wild week—up and down and all around.