Americans are more bullish than they’ve ever been on the stock market
The post Americans are more bullish than they’ve ever been on the stock market appeared on BitcoinEthereumNews.com.
A record-breaking 56.4% of Americans think the stock market will rise over the next 12 months, according to the latest Conference Board Consumer Survey. This figure has doubled in just two years, signaling the highest level of optimism ever recorded. In November, the gap between those expecting stock prices to climb and those predicting declines hit a historic 35%. This is happening while the S&P 500 approaches a massive milestone: its first annual gain of over 30% since 1997. Trump’s return could shake up everything President Donald Trump is set to reclaim the White House, and Wall Street is already holding its breath. His return could upend the balance between emerging-market stocks and bonds, which have been a heated battleground under Joe Biden. During Biden’s first three years, dollar-denominated emerging-market bonds outperformed stocks. This year, they’re neck and neck: bonds have gained 8.4%, while stocks have delivered 9%. But bonds have managed all this with half the volatility of equities. High-yield sovereign bonds? Up a stunning 15%. Trump’s trade policies are the wildcard. Jeff Grills, head of US cross-asset and emerging-markets debt at Aegon Asset Management, says Trump’s tariffs could be a game-changer. “If he imposes tariffs on Mexican and Chinese imports, stocks will take a hit, while bonds could shine,” Grills explained. But if Trump’s tariff strategy is more about negotiating leverage, it could push equities ahead of bonds. The market is already showing signs of a split. Since early November, the Bloomberg Emerging Market Dollar Debt Index has been climbing, while the MSCI Emerging Market Equity Index has dropped 3.7%. Chinese stocks, a major part of the equity index, have plunged 8% since Trump’s win, dragging down the entire sector. Meanwhile, bonds have stayed steady, offering a refuge for nervous investors. Emerging markets caught in the crossfire Emerging-market…
Filed under: News - @ December 1, 2024 6:21 pm