RE:RE:RE:RE:RE:RE:Apr 29 Estimated Common NAV @ 12.15, Premium @ 18.9%A lot of investors are very worried right now as we seem to be hovering at the edge
of a cliff. The oil & gas markets remain strong but I am worried that at some point,
that strength will be their undoing. The serious spinoff efffect is massive inflation
and it is being reflected in every aspect of our life. The central bankers will respond
with more rate hikes. Presto....recession and with it comes the correponding selloff
in stock markets. How much toleration is there for more rate hikes before a selloff
begins? I don't think very much no matter how delicately central bankers try and
tiptoe through it.
Income investors like myself need more income to cope with these current inflationary
trends but not at the risk of further destroying my capital. This is a very tough time to
be going through and being retired, one has to be damn careful about when to step in.
My investment capital is 10x more precious now than it was 20 or 30 yrs ago. That said, I think being patient will present a better entry point for BK than right now. For
those holding BK and collecting their div, all the best and if I were in your boots, I
would hang on and if possible average down when the markets correct.
MS