With all of the negative drags on the economy currently, give me some hope that this is just a dip and that the market should go up -or at the very least just go sideways.
I'm certainly no expert, economist, nor am I a professional trader, or political scientist. But what IU see as negative drag at the moment are the following. Also, many of these won't really become visible for another quarter or two:
* Individual bankruptcy filings as high as peak COVID
* Defaults on car and house loans at historic highs
* Consumer discretionary spending down due to (massive tax increase, Tariffs), inflation, strength of dollar down, and uncertainty)
* Slowing housing market (higher interest rates, higher insurance rates (due to increased replacement costs (tariffs) and natural disasters), new builds slowing (due to labor shortages from removing migrants)
* US business spending and investment is frozen due to uncertainty.
* US hiring is going to be slower and/or layoffs due to uncertainty and a slowing economy.
* Inflation is likely to accelerate due to tariffs.
What I don't have is the other side of this. Other than history, which implies eventually it will go back up -even if that's 10 years later, can someone give me some positive thoughts or perspectives on the market and economy? Like, what do you think will drive the market back up at this point?
Again, for the record, I'm no expert, and I don't expect everyone else to be either. Even if it's just your theory or your perspective, I'd love to hear your thoughts.
Thanks