Weekly Market Outlook January 1, 2018
Pfäffikon SZ, Switzerland – Investors are optimistic about 2018. The chance of a stock market crash or bear-market has risen to more than 70%, but that does not seem to bother anyone; That the S&P 500 has an overvaluation of about 65% or more also does not seem to interest anyone. The key question is what will eventually be the catalyst that will inaugurate the inevitable bear market. It is not inconceivable that this bear market will only present itself in 2019 or even 2020. The fact is that the financial problems that arose in 2008 have not been resolved, which makes us humble. The world has embraced the ‘bail-out’ and, therefore, every financial problem seems to be solvable; Nothing is less true. As every investor knows, there is no free lunch.
The coming week promises to be quiet. The agenda is particularly filled with American macro news.
This material is communicated on January 1, 2018 by Thirteen Asset Management AG, Rietbrunnen 20, 8808 Pfäffikon SZ, Switzerland. This material is for information purposes only and is not intended to be a solicitation or invitation to invest. Any organizations or products described in this material are mentioned for reference purposes only. This material is intended only for investment professionals and professional clients and must not be relied upon by any other person. It is proprietary information of Thirteen Asset Management AG and may not be reproduced or otherwise disseminated in whole or in part without prior consent from Thirteen Asset Management AG. Alternative investments can involve significant risks and the value of an investment may go down as well as up. There is no guarantee of trading performance and past or projected performance is not a reliable indicator of future performance. We recommend to consult your bank, investment and/of tax adviser.
