Headed to Dow 20,000?
As we begin 2017, the market's direction is always determined by
perception rather than actual results.
As we head towards the Trump Presidency, many investors have the
belief that Trump will be able to effect significant change and offset
some of the economic damage created during the Obama years.
Whether the optimism will fade going forward is almost certain given
the fact that the Democratic party has decided to obstruct and delay any
change to the current economic system as possible.
With the world-wide economy slowing down and the U.S. economy
sluggish at best, it would appear that obstructism will not be positive
to the U.S. and could easily push the country into a real recessionary
While the Dow could hit 20,000 in the near future, the real question
is: Will it be able to continue to move higher or whether will it then
fall back to reality.
January 4, 2017