Today the market closed slightly lower than it did last Friday.
The DOW finished at 27,910 down -104.34 points or a -0.37%
The S&P 500 finished at 3,135.89 down -10.02 points or a -0.32%
The NASDAQ finished at 8,619.77 down -36,76 points or a -0.42%
The Russell 2,000 finished at 1,630 down -3.71 points or a -0.23%
So far this year stocks have roared past financial analyst’s expectation for 2019. Wall Street is not expecting a repeat in 2020. The S&P 500 which represents company stocks with a greater valuations than $10 billion dollars (large capitalization) is up 25%. It’s the biggest gain since 2013 (when the market recovered from the market crash of 2008).
Most financial forecasters believe the market will not continue its bull run next year. It will be slower. The market will continue to grow next year because of the American market (not just as fast).
The U.S.A. is a the worlds largest consumer eating machine. We buy, buy, buy. With the slowing global economies (trade disputes aside), the growth in America will be in the single digit (not 25%). Expectations from UBS and Morgan Stanley will see the S&P 500 down around 3,000 (note where it is today).
Time to rebalance your portfolio.
My two cents. What’s yours?
Robert L. Woods