Most Pros never believed in it anyway - Mitch Kramer of Fluent Financial says, " It is the "classic fair market rally" - and a part of it is 'hopeful optimism' which is just not well-founded." How will this affect your retirement? "It's a temporary situation, anyway. The markets go up and down - long term the go up. So your 401(k) may go down in the short term - but you have to look at 'when the money is going to be needed?'.
Goldman Sachs Predicting a Crash for 4 U.S. Cities - including Austin!
So many financial experts, like Kramer, are predicting the end to the recent 4-month stock market rally. Kramer says, stocks such as Technology, have had a little rally year-to-date. But - it's not sustainable. The reason for that is inflation is still strong!" Kramer adds that the Consumer Price Index, the chief indicator for inflation, will continue to rise, possibly to 6 percent! Kramer: "We're not seeing a significant number of people being laid off --- but we're also not seeing a significant reductions in wage growth!" In summary - the stock market buying binge is coming to an abrupt end and it might not be pretty. Kramer doesn't anticipate a crash like in 2008-but it will probably go down another 15 to 20 percent.
photo:Getty
4 month rally coming to an end