As we celebrate Thanksgiving, I’ll keep this commentary brief.
Today is a time to enjoy the company of family and friends, not delve too deeply into market analysis or debate what the Trump victory might mean for the economy. Let’s savour the holiday and reflect on what we’re thankful for.
For investors outside the U.S., it’s likely a quiet day, as global markets tend to tread water during American holidays.
The past few weeks have been remarkable for many, capping off what has generally been a strong year.
The standout story has been Bitcoin’s meteoric rise. Its value has doubled since summer, and while it hasn’t yet hit the much-anticipated $100,000 mark, the outlook remains bright. Certainly, Bitcoin’s journey is anything but a straight line, but with the incoming Trump administration’s potential policies, the upside seems boundless. While I’ve harboured some scepticism about Bitcoin—especially as major financial institutions have entered the fray—it’s hard to argue with its positive impact on value. For most stakeholders, that’s what matters.
Equity markets continue to outperform, with new all-time highs posted so frequently it’s almost dizzying. While the ever-bullish chatter from TV pundits can be a concern, it’s undeniable that 2024 has been a banner year. Fund managers, portfolio managers, and investors alike are set to enjoy well-earned bonuses. As a retired investor, I can’t complain – my portfolio has grown handsomely this year!
With the election behind us, some are voicing concerns about the incoming administration’s policies. These worries aren’t unfounded, but it’s too early to predict how things will unfold once Trump takes office. Many campaign promises will likely be fulfilled, but the extent and specifics remain uncertain.
One key area of debate is Trump’s proposed tariffs. The “America First” agenda seeks to address trade imbalances that foreign counterparts have benefited from for decades. The impact of these measures, particularly on China, will be a focal point in 2025.
When it comes to Europe, the potential for trade friction hinges heavily on how leaders approach negotiations. Trump’s business-oriented perspective is likely to focus on levelling the playing field, while European politicians may prioritize political ideologies over economic pragmatism. This clash of approaches could lead to miscommunication, with each side talking past the other rather than working collaboratively. Such a scenario would benefit no one. However, there’s an opportunity for European leaders to engage constructively and shape outcomes that work for all parties involved.
As we look to 2025, it’s clear that significant movements lie ahead—both upward and downward. For speculative investors, this volatility presents ample opportunity.
Let’s embrace the uncertainty with optimism, stay nimble, and appreciate the positive moments as they come. There’s much to be grateful for this year—and plenty to look forward to in the next.
Happy Thanksgiving!
The post Happy Thanksgiving! So Much to Be Thankful For! first appeared on JP Fund Services.
The post Happy Thanksgiving! So Much to Be Thankful For! appeared first on JP Fund Services.
The post Happy Thanksgiving! So Much to Be Thankful For! first appeared on trademakers.