Is a (big) US market correction on the cards?
I have a feeling the Dow Jones is heading for a big correction from 25650 to 23 something..or lower. With the current China trade wars, I don’t think the US market can sustain this rate of growth. Analysts are telling us that the fundamentals are not strong enough. Right now, the US is just deferring the bad news.
I suspect this means a forthcoming opportunity for Southern Africa, where we will see a swing in the next year or two. The rand may weaken in the short term due to emerging market worries, and political concerns. But a renewed interest in growth markets will see investors coming back to SA..at least those that understand the political environment. Let’s hope as a country we can get our message right in order to get a piece of the action.
February 13, 2019 @ 11:13 am
So after this post the following happened:
On 21 Dec, the DJ dived 400+ points to end its worst week in 10 years, finishing at 22,445.
A 2700 point sell off in the month of December.
This was explained by a Fed rate hike that Wednesday.
But, the Bulls have shrugged this off in January ’19. You know, new year, new feelings. And all is right with the world again..
I suspect another big swipe to US confidence later this year. But until then, I’ll just watch the bulls run.