2011
Nov 
7

Weekly Coaching Update with Dr. Kerry Johnson

Filed under: GENERAL — Kerry Johnson @ 4:46 pm  

Dozens of New Coaching Clients
Last Week, Dr. Kerry Johnson was a featured speaker at Ed Slott’s Elite IRA Advisor seminar in Phoenix, Arizona. Dr. Kerry spoke on “How to Increase Your Business by 80% within 8 Weeks.” Over three dozen financial advisors signed up for Dr. Kerry’s one on one coaching program. This was a single day record in more than 30 years of coaching.

The US Economy
US stocks last week ended with more than a 2% decrease after horrendous political news and economic chaos in Europe. Yet, the Dow and S&P indexes rallied on Wednesday and Thursday but failed by the end of the week to regain ground. Friday’s losses alone were .5%. The S&P 500 lost 2.5%, while the NASDAQ dropped 1.5% for the week. Just when the world thought the euro zone reached agreement with a $1.4 billion bailout plan was a done deal, Greek Prime Minister George Papandreou surprised with the announcement of a referendum on austerity measures associated with the bailout.

This announcement pushed markets into turbulence since France and Germany not only took so long to reach agreement, but gave the world optimism for more equity stability. As it turned out, perhaps the Greek Prime Minister was crazy like a Fox. Soon after the announced referendum, Greek politicians scrambled to ponder new elections and a new government. Many euro zone watchers thought a referendum would only result in a Greek default. But Papandreou possibly gave Greece more stability with a new coalition government possessing more legitimacy representing the people with a greater political will for austerity.

The Euro Crisis
The European Central Bank delivered an unexpected rate cut Thursday as the new European Common Market chief, Mario Draghi warned of an upcoming mild recession. Unlike his predecessor Jean Claude Trichet, he also warned that the European Central Bank would no longer serve as a lender of last resort to troubled euro zone governments. Draghi predicted near term slow growth with a possible mild recession by the end of 2011.

It’s All about Demographics
While the headlines have been about Libya, Iran, and the euro zone crisis, a much more significant event occurred. The world’s population increased to 7 billion last week, according to United Nations calculations. Europe is a mere 350 million, while the US is an even smaller 300 million. This is not even 1/10 of the world’s population. This indicates that new markets, new ideas, and new investment is likely to incur the greatest future growth and wealth. In fact emerging markets have seen some of the greatest levels of equity price increases.

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