Courtesy of John Nyaradi.
Stock markets will likely fade into Christmas on Friday
The Fortune Teller Speaks:
US stock markets will likely fade into Christmas, as investors wind down for the Holidays and fully absorb Fed action.
All Eyes on Wall Street:
All eyes on Wall Street are still focused on the Fed and the new tapering program set to start the first of the New Year. Investors have yet to follow their usual pattern of selling when the Fed hints at a taper; now that a taper is eminent, I imagine stocks will eventually decline, if not today. The old saying “Don’t fight the Fed” always applies, and will likely apply here in the near future, especially once the markets react to $10 billion less per month in their punchbowl.
Friday is a quiet day for economic reports, with the GDP revision due out at 8:30 AM EST.
Hindsight is a Beach and We’re Playing On It:
Yesterday we were correct with the Dow Jones Industrial Average’s (NYSEARCA:DIA) new record high of 16,179.08 and a rise of .07%. We were wrong with the S&P 500 (NYSEARCA:SPY) and the NASDAQ 100 (NASDAQ:QQQ) which lost .06% and .29% respectively. As I always say, I do not care where markets go just as long as we are right. Better luck today.
Fun Fact:
Warren Buffet made $37 million per day this year. Insane.
May the Bears be With Us:
I predict a stock market decline for the day, may the bears be with us!
This stock market forecast is for educational and informational purposes only. It is not intended to be investment advice nor an investment recommendation. Past performance is no guarantee of or indication of future performance and your performance may vary widely from any that may be indicated in this column. There is risk of loss in all investing and trading activities and you should consult your financial adviser before making any investment decisions.
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