The month isn’t over yet, but it looks like the S&P 500 is off to the worst monthly start as far back as I’ve seen data (1950). While I have no idea if this is the market bottom, I do think the selling is irrational and driven by misplaced fears. Here are the 10 reasons I’m buying stocks for both myself and my clients.
1. Low oil prices are a transfer of wealth
It’s important to remember that the crash in oil prices is not so much destruction of wealth as it is the transfer of wealth. What used to be a dollar in the pocket of oil producers and oil exporting countries is now a dollar in the pocket of an oil user and oil importing countries. Wealth is not being destroyed, it is simply transferred.
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