Posted on 12/07/2023 7:24:06 AM PST by SeekAndFind
This has been a good year for stocks, no doubt about that. The has gained 19% year-to-date, after a gangbusters November, and the outlook for December, while more moderate, remains positive.
The markets have made these gains despite a strong set of headwinds, including the Federal Reserve’s turn to a policy of aggressive monetary tightening and interest rate hikes; the ongoing war in Ukraine; and now the flare-up of war in the Middle East. This stock rally is showing real strength, and the Street is now taking seriously the possibility of a ‘soft landing’ case, with inflation falling to the Fed’s target rate of 2% in the coming year.
That’s fueling some improvement in investor sentiment – and a brighter outlook from the experts. Writing from Bank of America, market strategist Savita Subramanian says in a recent note, “We are past maximum macro uncertainty… We’re bullish not because we expect the Fed to cut, but because of what the Fed has accomplished. Companies have adapted to higher rates and inflation.”
Putting some numbers to the sentiment, Subramanian is predicting that the S&P will hit 5,000 during 2024 – a new record high, and some 9.5% above its current level.
(Excerpt) Read more at tipranks.com ...
with how many pull backs, adjustments and corrections. To much volatility with shitter joe and his den of thieves in power.
Democrats know how to artificially gin up the markets in election years... and their press boys will help with the push to make it all look rosy.
It’s obvious the government is manipulating the market.
Great economy for Wall Street. Maybe. Not for you.
In other words:
We know everything will come crashing down very soon, so put all your money in the casino so we can take it from you...
Interesting and important article...yesterday professional gold bug and gloom and doomer Schiff also capitulated and admitted the stock market may keep going higher.
What does this mean?
Sell.
Sell it all.
Now.
That way, they can convince gullible Americans to stick with the "steady hand" of Joe Biden as opposed to going back with the "unpredictable and volatile" Trump, with the mean tweets.
Do not underestimate the impact of millions of voters checking their 401K statements and seeing the double-digit gains. Many of them will decide to stick with the guy in charge, even if he's a senile dirty old man who was not legitimately elected in the first place.
I’m thinking this is just Biden pimping.
You also have to figure in inflation applies to stocks too. Paper money.
1994 was horrible for stocks AND bonds.
It does not happen often that both of those are down in the same year.
Regardless of the hate on Biden (I might hate him as much as you) if you invest in publicly traded stocks jumping in and out if the market is NOT a way to long-term profits.
> Democrats know how to artificially gin up the markets in election years... <
That certainly is part of it. As George Carlin famously said, “It’s a big club, and you ain’t in it.”
Biden is in the club. So is Wall Street. We’re not in the club. And neither is Trump (he could have been, but he put America first).
EDIT
1994 was horrible for stocks AND bonds.
It does not happen often that both of those are down in the same year.
Regardless of the hate on Biden (I might hate him as much as you DO) if you invest in publicly traded, stocks jumping in and out OF the market is NOT a way to long-term profits.
“Companies have adapted to higher rates and inflation.”
We’ve adapted, but we are a billion dollar corporate entity.
Your prices will still increase.
But...that’s not inflation, it “fiscal adaptation”.
I repeat, it has not gained 19.9% year to date. Instead it has recovered that much of the losses since 2021. It may actually make some real gain next year. New money, old money.
The stock market rewards those who invest long term and ignore it (especially if they avoid high fee ripoff firms).
The problem is that the majority (perhaps 90%) of real human beings do not operate that way.
They will panic when the market crashes.
Worse yet—the market is most likely to crash when the economy crashes as well and folks loose their job and need cash and....start either borrowing from their 401k or paying the tax penalties and selling their stocks at the lower numbers.
The market has not had a bone chilling full capitulation crash since 2008-2009—it is long overdue.
That's not a very bold prediction.
S&P 500 is near record high now. 2024 is a little over three weeks away.
And then comes the big crash.
Perhaps they can put it off until after the election
time to sell!
A jolt of inflation tends to raise the value of equities, but at the price of undermining the value of bonds and hurting investors in bonds.
ONLY if President Trump returns to the white house.
+1
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