The post Challenges, Opportunities And The Road Ahead appeared on BitcoinEthereumNews.com.

Are better days ahead? (London’s Stock Exchange) getty In the unpredictable world of stock markets, success often lies in your ability to outperform the market by zeroing in on rising trends running against the general flow of trading, ensuring your portfolio thrives when the market rises and doesn’t suffer excessive losses during downturns. This principle has held true, particularly for investors trying to make profits in the face of the stagnant market performance of the U.K.’s FTSE 100 over the last 25 years. The FTSE’s Stagnation For a quarter of a century, the FTSE has shown little progress, leaving investors pondering their strategies. Despite this, proponents of value and contrarianism have managed to navigate these turbulent waters with relative success especially if they have been able to dodge the bullet in the periodic crashes that reset the FTSE 100. However, recent times have presented a challenge with investors finding it nearly impossible to make a return. Fortunately, a glimmer of hope has emerged. Value portfolios have begun to display resilience, outperforming the market during rallies and avoiding significant losses during market declines. This positive development is partly attributed to the changing market dynamics, driven by factors such as decreasing inflation, anticipated lower interest rates and the impending injection of liquidity into the market to fund government deficits, which although not yet muted is likely to be primarily through old-school quantitative easing (QE). One issue plaguing the U.K. stock market is its perceived fragility. It has been criticized as “broken,” a sentiment shared by many industry insiders. However, there is a hope that this sentiment may shift as the acute need for action is understood and grasped, coupled with the long term possibility that the global economy is on the mend. If this shift doesn’t occur, there is the looming possibility…

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Filed under: News - @ December 1, 2023 3:12 pm