Bearish sentiment abounds in financial markets, and the contrarian “buy” signals intensify. And yet, few analysts have the courage to say the correction/bear market is over and this is the time to jump into the market.
Stock markets swooned again last Friday, when the US jobs report showed the number of jobs created in January was well below expectations, at 151,000 compared with the 190,000 forecast by analysts.
Investors can no longer find comfort in turning bad news into good news, as they once did because any piece of bad economic news meant the Federal Reserve held interest rates rather than hike them.
With the recent stock market collapse and bear market, the critics of capitalism are out in force again; shouts that capitalism is dead or that capitalism is what caused this mess are growing louder.
The FTSE 100 closed at a new record high, exceeding the previous record high it had set on December 30, 1999. And suddenly, taxi drivers in London can be heard once again saying that they’re thinking about investing in shares.