People investing in the stock market have found it difficult nowadays to get a good grasp of it, saying that it is more volatile now than before, thus costing them more money. On the other hand, prognosticators cannot be stopped in making predictions as to what would be the stock market in the coming years. To know what are these stock market projections floating around, here are a few of these information that sources are presenting.
The number one thing you should find out are disappointing earnings reports. Several stock market experts are predicting that the earnings reports in 2019 or 2020 will not be as strong as in the past year when stock traders have seen growth of earnings.
Number two factor is to expect GDP growth to go down like dropping 1 percent, and although may bounce back to 1.7, investors would find this even lower than what they would like.
Another thing to watch out for is a pause in the interest rates to make your move, considering that the Federal Reserve had decided to raise interest rates in 2018, and might implement it finally in 2019.
Although stock traders had been more interested in growth stocks than in value stocks in the past years, they could be moving to value stocks with the anticipation of a recession, so it is advisable to keep an eye on value stocks too.
The next thing to consider are tech stocks which traders are cautioning against investing too much for it this stock could end up underperforming. You will find these stocks in the tech space and in different sectors.
As the stock market could go up and down, it is good to watch out the bear market, words that every trader hates to happen. Bear markets are viewed to lead to pessimism and lots of panic among those traders of stocks. You will experience rolling bear markets when certain sectors would experience a large decline at the same time, which can bring worry on what could happen next.
To be in the game, bear in mind that stock market projections mean exactly as they are worded, a mere projection. This means also that the factors mentioned above may not necessarily happen in this year and the years to come.
With people watching out for the highs and lows in the stock market, there is volatility to hope for. With the fluctuation going on the past years, this is a topic of discussion that traders will continue to talk about. Just keep on being informed then to get a good read on the stock market.