Post by
DZtrader on Sep 04, 2024 2:21pm
Euphoria abound
Well I can't say that I blame anyone. We've seen a few false starts and it's taken a bit but we are now in full swing. I don't see anything short of 25 bip cuts from BOC right through into next year with the Fed likely patiently following along the same path way. As I have noted so many times here, nothing goes up in a straight line. There will be choppiness and it usually hits when things get a bit euphoric. I fully expect a correction of sorts in the markets, how exactly that plays out in the reit sector remains to be seen. We have enjoyed some oversized moves over the last few months and have probably outperformed most sectors. I do believe we are in the early innings yet as most of my holdings are starting to break out, some out of five year highs so will be interesting to see. Had to take profits on Granite unfortunately kicking and screaming but just too large of a move in a ultra short time not to.
The euphoria on this board is screaming at my cautious side, even Rumpleman admitting he had premature estockulation today, thats just nasty. Talk about a contrarian signal if ever there was one. Aaaanyways, as tempting as it feels to take some profits, I can't see another 100-150 basis points worth of cuts harming this sector providing any unforseen debt issues which seem unlikely at this point. I would think the hardest part of this is adding to positions from here. Always the never ending debate, do I want it to go down to add more or keep running to make more, ah such is life.
Think I might just book my get away now, Bangkok here we come baby!
Stay good,
DZ