I just caught a Forbes article about the current US stock market. An excerpt:
“The message for investors from all this is to be cautious. There’s no reason to think the market is about to tank – on the whole it isn’t obviously overvalued. But there’s good reason to fear that big profit increases may soon be a thing of the past, and with them the big market gains of the past four years. Even Quinlan, who doesn’t think corporations are going to give up the ground they’ve won from labor in recent years, is worried that slower economic growth will nonetheless mean slower profit growth. What it all adds up to seems to be a forecast for a relatively flat stock market. But for some irritating reason, the market doesn’t usually do flat. Beware, then, of falling stocks.”
Boy I needed that during this slow week after Christmas. Nothing like heading into the new year with a solid prediction!