There are trends that are developing in the U.S. economy that we have not seen for decades. As inflation continues to rise at a rapid pace, we have to look back to the 1970’s as a reference point to determine how inflation could impact stocks, bonds, gold, and cash going into 2022. The most common questions that we have received from clients over the past few weeks are:
• Will the stock market rally continue into 2022?
• Will higher inflation derail the economy?
• How will the market react the Fed increasing interest rates in 2022?
• A lesson from “The Nifty Fifty”
• How will the labor shortage and supply chain issues impact the markets in 2022?
I plan to address all of these questions and more as we present our market outlook for 2022.