Will stocks drop further or is a recession already priced in?

Discussion in 'Investing' started by Matt0029, Aug 29, 2022.

  1. Matt0029

    Matt0029 New Member

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    As the title are stocks usually 6 months ahead of were the economy is actually at?
     
  2. anotherdevilsadvocate

    anotherdevilsadvocate Well-Known Member

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    We've had the yield curve inversion this month, so recession is due within 2 years, although it once took 33 months.
    So lots of time for stocks to make another all time high.
    Sentiment has already hit an extreme low, so that tide will start turning up.
     
  3. TomB16

    TomB16 Well-Known Member

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    I suspect things will become darker.

    Chinese banks are failing and we are in early stages of global recession. We are hanging in there, with our DRIPs off, and several years of cash idling.

    The thing about macro economics is that nobody can predict them so I ignore my own predictions and recommend against other people putting too much regard on my thoughts of the future.

    [Edit: To clarify... recession not priced in at this time]
     
    #3 TomB16, Aug 29, 2022
    Last edited: Aug 30, 2022
  4. StockJock-e

    StockJock-e Brew Master
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    The tricky part about negative sentiment is that it can get more negative than most people expect.

    Tough to tell when bottoms occur, but we are definitely closer to a bottom than a top, thats for sure.
     
    TomB16 likes this.

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