After several days of forging to new heights, the markets took a breather today. While Apple keeps setting new records, Best Buy is hitting the wall. Earnings for BBY are down 91% and are a reminder of the changing times. Manufacturers are cutting out middlemen and selling directly to their customers. While Wal Mart has been able to keep pace through price, you can't help but wonder if this trend will continue.
Warren Buffett has reduced his exposure to municipal bonds by pulling out of credit default contracts. Does the Oracle of Omaha think we are in for another rough spot in this bond market? Certainly, municipalities are still struggling to make ends meet. Here in Mississippi, though, we have seen an uptick in sales tax revenue giving us hope for our own debt.
Independent, Fee-Only Financial Advisor
