Still a long-term bull One major concern is what happens when the U.S. Federal Reserve starts raising interest rates. While a recent Reuters survey suggests this will not happen until mid-2015, if the job market rebounds strongly it could pull that timetable forward. Doug Ramsey, Chief Investment Officer at Leuthold Group, is calling for a correction. "We are expecting and 8% to 10% correction for the S&P 500 over the next two months. There is a good chance that it would wipe out all the gains for the year,” he told The Wall Street Journal. As a result, I have started trimming some positions. I sold our large position in Lifelock (LOCK). I also cut our positions in JC Penney (JCP) and Apollo Group (APOL) in half. Should any other stocks reach my targets, I wouldn't hesitate to raise even more cash. This doesn't mean that I am turning bearish. It just strikes me as a good time to raise a little cash when times are good and in case better opportunities present themselves down the road.
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