There's been a bit of a volatile week this week in the stock market.
There are trade negotiations going on between the U.S. and China. Because of this uncertainty, stocks can be a little shaky.
Generally speaking, these negotiations seem to be going in a positive direction, which in our view would actually be good for the markets.
Also, some investors are shifting focus on the Federal Reserve and reassessing the fact that interest rates may not actually end up going up as much next year as anticipated. This is probably going to be accommodative for the markets.
As the dust begins to settle with a few of these different factors, our view is that it's going to be good for the stock market.
There is also a saying on Wall St. that there is a "Santa Claus Rally" in December, so we are hopeful that the next few weeks of December will be good!
Hope you have a good weekend,
The information provided should not be relied upon as investment advice or recommendations, does not constitute a solicitation to buy or sell securities and should not be considered specific legal, investment or tax advice. The information provided does not take into account the specific objectives, financial situation or particular needs of any specific person. Diversification does not ensure a profit or protect against a loss in a declining market. There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income. Forecasts or projections of investment outcomes in investment plans are estimates only, based upon numerous assumptions about future capital markets returns and economic factors. As estimates, they are imprecise and hypothetical in nature, do not reflect actual investment results, and are not guarantees of future results. Investing entails risk including the possible loss of principal and there is no assurance that the investment will provide positive performance over any period of time. The stock market is in reference to the S&P 500 index. Volatility is in reference to the CBOE VIX index for the date range 12/3/2018 - 12/7/2018 . An index is unmanaged, does not reflect management or trading fees, and one cannot invest directly in an index. Positive sentiment towards trade talks between the U.S. and China were in reference to the Barron’s article, “U.S. Markets Are Closed but the Selloff Continues” by Teresa Rivas. Statements about the Federal Reserve and interest rates were in reference to the Barron’s article, “When the Fed Chair Speaks, the Market Moves. Data Proves It” by Vito Racanelli. The Santa Claus Rally is in reference to an Investopedia article, “The Santa Claus Effect” which quotes The Stock Trader’s Almanac.