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Mon May 14, 2018, 04:56 PM

Why making money in the stock market just got a lot more difficult

For almost a decade, it’s been extremely difficult to lose money in the U.S. stock market. Over the next decade, it could be hard to do anything but, according to analysts at Morgan Stanley.

The outlook for market returns has precipitously worsened in recent months, with analysts and investors growing increasingly confident that the lengthy bull market that began in the wake of the financial crisis could be, if not coming to a close, petering out. More market participants view the economy as being in the late stage of its cycle, and a recession is widely expected in the next few years. All of that could result in an equity-market environment that’s a mirror image of recent years, where gains were pretty much uninterrupted, and volatility was subdued.

“2018 is seeing multiple tailwinds of the last nine years abate,” Morgan Stanley analysts wrote in a report to clients that was entitled “The End of Easy,” in reference to the investing environment. “Decelerating growth, rising inflation and tightening policy leave us with below-consensus 12-month return forecasts for most risk assets. After nine years of markets outperforming the real economy, we think the opposite now applies as policy tightens.”

As part of its call, Morgan Stanley reduced its view on global equities to equal weight, saying they were “in a range-trading regime with limited 12-month upside.” It raised its exposure to cash, following Goldman Sachs, which last week upgraded its view on the asset class on a short-term basis.

https://www.marketwatch.com/story/why-making-money-in-the-stock-market-just-got-a-lot-more-difficult-2018-05-14

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Reply Why making money in the stock market just got a lot more difficult (Original post)
Zorro May 2018 OP
Wellstone ruled May 2018 #1
Blue_Tires May 2018 #2
malthaussen May 2018 #3

Response to Zorro (Original post)

Mon May 14, 2018, 05:10 PM

1. Today's Housing news from

California might be that Canary in this Coal Mine. And with the White House Cabal manipulating Fuel Prices via their Personal Interests ,we are on the verge of something ugly about to happen.

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Response to Zorro (Original post)

Mon May 14, 2018, 05:42 PM

2. I'll take my chances with a bookie instead...

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Response to Zorro (Original post)

Tue May 15, 2018, 10:38 AM

3. You can still make money. Sell short. n/t

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