Records are being broken shattered …
Continue reading “The U.S. equity market meltdown in numbers”
Almost every major Wall Street strategist has been way off with their target for the S&P 500 for 2018 yet their 2019 targets are mostly bullish again
We look back at 2018 year end S&P 500 targets as 2018 draws to a close. The S&P 500 is currently down about 3% year to date and unless something drastic happens almost every major Wall Street strategist will be way off with their target for the S&P 500 for 2018. We also look at 2019 targets which are all bullish again. Will the predictions for 2019 be any better on target than they were for 2018?
Between January to the October peak, the FAANG stocks accounted for 82% of all the gains for the S & P 500 and the NASDAQ 100; The only stock to decelerate the stock market fall is … Microsoft
The S & P 500 and the NASDAQ 100 hit all time highs in early October and since then they have fallen about 10% each. The S & P 500 has turned negative for the year and the NASDAQ 100 has barely moved. FAANG (Facebook, Amazon, Apple, Netflix and Google/Alphabet) stocks accounted for almost all the 2018 gains until October. And their fall has caused the market meltdown but there is more to the story …
The S & P 500 is up 180% since the end of the last U.S. recession but the average wage is only up 21.2%, disposable income up 24.6% and GDP up 39.5%
The S & P 500 has had a stellar run of nine and a half years of gains closing at a new high in the week gone by. It is up 300% since the 9th of March 2009 when it hit a multi-year low in the aftermath of the financial crisis. Even considering the time post the end of the last U.S. recession, the S & P 500 has outperformed every major financial metric by a big margin.
Real reasons why stock markets are soaring
Most major stock indices have recently hit all time highs. Many of the 2018 year end S & P 500 targets were hit in just 15 trading days. Continue reading “Real reasons why stock markets are soaring”