Although Wall Street is a long-term wealth-creating machine, it can be completely unpredictable over short timelines.

When the year began, the consensus among investors had been that higher inflation and rapidly rising interest rates would lead to an economic slowdown, if not recession. Few analysts were looking for the rebound in the Dow Jones Industrial Average, S 500, and Nasdaq Composite to persist. Yet seven months into the year, investors are witnessing one of the strongest performances for the S 500 and Nasdaq Composite in modern history.

I count myself among the many investors who had been expecting a weaker environment for corporate earnings in 2023. As a result, I've been sitting on an outsized cash position and have put only a small amount of it to work.

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Source Fool.com