The stock market has been wild for the past few years. Investors have not been consistent regarding their choices. It appears to be a little different for stock market 2020 with a few things staying the same. Based on how things have shaped up in the past, here are our predictions for the stock market this year:
1. No Recession
Investors are pretty careful with their investments in the stock market because they anticipate a recession this year. The good news is we don’t think it is going to happen this year. There is a good chance it is going to happen next year or so though. Besides, it is bound to happen one of these days but it won’t happen this year so investors can rest easy.
2. A Positive Year
The people who have been saying negative things about stock market 2020 will start o lessen. The reason for that is because it will be a good year for the stock market. In fact, we see more investors wanting to learn more about the stock market because this year is such a great time to invest in it. Thus, that means all the licensed stockbrokers out there will have a great year of gaining income. We are not saying the positivity will build up into 2021 though. It will be easier said than done to maintain something like that.
3. Interest Rates Remain the Same
In a not so surprising move, the interest rates won’t budge. This is good news for the investors and bad news for just about nobody. Besides, this is great news for everyone involved. We love how everyone gets to win whenever someone invests in this great opportunity. IN fact, we don’t see the interest rates changing in the near future. Besides, there is no reason to change it. Yes, it should remain as it is and nobody will complain about it.
4. Warren Buffett Purchases
He always says he is taking his time but one of the world’s richest men has yet to make an investment in the stock market. We think this year is the time and it will come later in the year. It is expected that he will make his purchase in the consumer department. That is where he devotes his time with loads of research. We can’t really say how his investment will turn out though. We just hope for his sake that it will turn out okay just like all his other investments. Knowing him, he won’t make an investment until he is pretty sure.
5. Netflix Underperforms
Despite its increasing popularity, Netflix’s stock will dive. The reason for that is that there is a growing number of competitors for it. That won’t be a problem because it is normal in any industry to have a lot of competitors. The challenge here is staying relevant among all of them. That does not mean it is a great company though as there are a lot of good TV shows and nice movies streaming on Netflix. In fact, the best is yet to come as they look to purchase more rights for more videos in their library. With more streaming services, it will be a challenge for them though.
6. Marijuana Industry Ends
Nobody will invest in the marijuana industry anymore because they realize how poor the effects of Marijuana are. Thus, the industry will go down. It has been expected to happen for quite some time but it finally happens this year. It is actually good for everyone because their health will be better. Meanwhile, you can’t help but feel sorry for all those people who will lose their jobs when that happens. With all these bold predictions for the stock market 2020, you can make a decision immediately if you are going to invest in it or not. Don’t worry though because you can take all the time in the world. This is one time when you must be patient because you are spending your hard-earned cash. Besides, there is no reason to hurry so better get some advice from a good licensed stockbroker. You can get a referral from your friends who made a previous investment. Of course, there are no guarantees your investment will also payout.
CONTRIBUTING WRITER
Zoe writes articles about small business-related topics, including marketing, business operations, and small business financing.