With the Dow Jones industrial average now up nearly 800 points, and a stock market rally around the corner, what to watch for in 2018?
With the Dow falling nearly 400 points, stocks are now worth less than a quarter of their highs in 2016.
The Dow is down almost 1,000 points over the past month.
“There’s a lot of volatility around the world right now,” said Charles Rochon, chief market strategist at Rochons Wealth Advisors in New York.
“The market has a lot to work with, and I think that’s one of the things you’re going to see in 2018.”
Some investors are already eyeing 2018 as a good time to buy stocks, given the market’s move toward a rally, as investors look to protect themselves from the effects of the Trump administration’s tax cuts.
With the U.S. economy in a deep recession, many investors are trying to protect their portfolios from the tax-cut fallout.””
It’s going to make the markets a little bit more volatile, and we’re going on the edge of the cliff, but it will give people a little more breathing room to put money into stocks.”
With the U.S. economy in a deep recession, many investors are trying to protect their portfolios from the tax-cut fallout.
“With the government’s new tax cuts starting to take effect, I think there will be a lot more volatility in 2018, and that will give investors more room to diversify their portfolios,” Rochsen said.
Rochon said investors are taking a cautious approach to investing, especially if they don’t have experience investing.
“You have to be prepared to have some volatility,” he said.
“Don’t be too greedy.
You have to have enough to get by.
Don’t be buying too much at once.
If you’re a little afraid, just sit back and watch the market go up.”