Disconcerting Corrections

The market has been correcting for a few weeks.
This is normal and healthy.
Investors and players always go to extremes. Too high and then too low and then too high again.

Asset allocation strategy indicates selling on the way up and buying on the way down. This correction is a message to do some buying.

To repeat
This correction is normal and healthy


In fact, it is what must happen. Corrections strengthen markets. They are no cause for despair.
The important thing is for earnings to continue to improve. Earnings are the most important thing. The value of a company is really just the value of earnings plus any real assets such as land.

I believe the correction has already almost run its course. However the road back to new highs will be long and slow. A period of consolidation may last for another six weeks. July looks good.

I still expect DOW 12,000 by Thanksgiving.

Poetry Evolving

I used to enjoy
hearing
angry, crazy, depressed, frustrated poets
telling me how awful the world is
and foretelling doom

but now that I am old and gray
and close to death
close enough to call him a friend

all I can hear is the sound
of little children laughing
and playing
and splashing in the fountain of youth

Geoffrey Francis Morgan Orator Civic Leader Writer

If you take a stroll on the Santa Monica beach you might see this monument to Geoffrey F. Morgan. Who was he? What did he do to deserve this?

For many years he was president of the Shoreline Planning Association of California. He sparked this organization to success in obtaining legislative appropriation of $10 million for beach acquisition. Back then that was a lot of money!

He wrote the words to the Stanford song, "Sons of the Stanford Red."
The Morgan Wixson Theater was named after him.
He was a California Assemblyman.
He wrote librettos for many operettas.
He was a professor of education at Ohio University.
He was a speaker on the circuits of the Redpath Lyceum. He travelled the country lecturing on inspirational subjects. He spoke in all 48 states.

Other posts and memberships:
President of the Santa Monica Theater Guild
Director of the Chamber of Commerce
Member of the Board of Education
Member of the Library Board
Rotary
Dramatists Guild
Actors Equity
Phi Alpha Tau
Tau Kappa Alpha
St. Augustine's Episcopal Church

here is a link to the Morgan Wixson Theater

http://www.morgan-wixson.org/

http://orlabs.oclc.org/identities/lccn-n82-90913