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The Economy and the Market
By: Timothy J. Maurer CFP®

It is vitally important to understand the difference between “the economy” and “the market,” especially at this time. Here’s how the world’s best investor, Warren Buffett, puts it, “…the economy will be in shambles throughout 2009 – and, for that matter, probably well beyond – but that conclusion does not tell us whether the stock market will rise or fall.” In fact, the market is thought to be a “leading” economic indicator, which means that global markets are likely to rally before economies show signs of improvement.

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You Need To Know - audio segment
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