Key Takeaways for Savvy Investors
2021 opened with great optimism and hope that vaccines would put the pandemic in the rearview mirror.
The year so far had a lot of highlights: the U.S. economy roared back from its 2020 recession, personal incomes hit a high mark, home values increased, and U.S. companies enjoyed record profitability.7,8,9,10
All that optimism has led to record-breaking stock performance (50+ all-time-highs in 2021), causing the S&P 500 to double in less than a year.11,12
But, the clouds on the horizon could lead to more choppy seas. Maybe even a storm.
There are a few things I’m watching as we head toward the close of 2021:
- New COVID-19 variants
- Higher inflation
- Fed tapering
- Political and geopolitical concerns
- Economic growth
- The rising debt burden
Since markets are cyclical, the good times are bound to end, and now is a good time to be cautious.
The flipside is that rocky times don’t last forever either.
Bottom line, I'm keeping a close eye on conditions and staying flexible.
Questions about what’s going on? Please reach out. I'd be happy to chat.