Gene Goldman: December 6, 2019

End of the Year Outlook for Global Markets

Global Trade Concerns and Deteriorating Economic Fundamentals Have Left Investors Cautious

 

 

Gene Goldman, CFA

Chief Investment Officer and Director of Research, Cetera Investment Management

 

As we approach the end of the year, several forces continue to create caution in global markets. Recently, we saw a trade truce, not a trade resolution. While truce resolves one source of worry, we still need a deal that ends existing tariffs. Without that, global growth and earnings are a bit murky. The result is what we expect: muted market returns and a dramatic jump in volatility. It is harder to imagine an S&P 500 at similar or higher levels one year from now without a trade deal, better confidence over global economic growth, and improved corporate earnings. 

 

Throughout 2019, we were cautiously optimistic. But, while we have been waiting for a trade resolution, economic fundamentals have deteriorated. Today, we are cautious for three reasons:

  • Stocks need earnings to grow, but weaker global economy and strong dollar will likely continue to pressure earnings
  • Growing political uncertainty is concerning investors
  • Already priced in market catalysts are fading (trade war resolution and dovish Fed)

To help us all make sense of this is Gene Goldman, Chief Investment Officer and Director of Research for Cetera Investment Management. On Tuesday, November 12th, he’ll be available to you and your listeners to give recent economic data readings, updates on Brexit, the Trade War and the Fed’s recent decision to cut interest rates – and what all of this means.

 

For more information, please www.cetera.com

  

More About Gene Goldman:

Gene Goldman is responsible for the strategic direction and continued growth of the firm’s research offerings. His role includes setting the vision for superior capabilities and enabling the delivery of objective investment advice. He provides day-to-day oversight of Cetera Investment Management, with a focus on providing unbiased research about the economy and financial markets, asset allocation strategies, mutual funds and other investment related topics. Mr. Goldman also helps oversee the investment committee and their commitment to delivering thought leadership on the economy, financial markets and investment strategies, as well as implementation and practice recommendations for advisors.  Mr. Goldman received his Bachelor of Science in engineering from Worcester Polytechnic Institute in Worcester, MA, and his Master of Business Administration with a concentration in finance from Northeastern University in Boston.

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