I can hardly believe it, but this is the final trading day of 2015. It has been quite an eventful year for the market; the Dow and S&P 500 have had their fair share of ups and downs. So let’s take a moment to review it all.
The first half of the year was largely quiet, as I covered in this earlier blog post. However as soon as we passed the halfway point, that all changed. The late summer months were unusually brutal for stocks, but the market staged a solid recovery in the fall.
In September, Apple Inc. (AAPL) continued to gain market share after the fanfare of the iPhone 6. In October, there was the big hubbub about the IMF adding the Chinese yuan to its basket of reserve currencies, but it turns out that it really wasn’t that big of a deal after all. In December, for the first time since the financial crisis, the Fed finally raised key interest rates.
In summary, the benchmark indices remained largely flat this year; below my predictions for a double-digit gain. The fact of the matter is that the stock market is now incredibly narrow, with a select few stocks continuing to climb higher. The strong dollar, which has crushed the international sales of big multinational companies, has seen to that.
Unfortunately, I expect this problem to continue in 2016. So if you’re looking to invest in stocks next year, make sure you continue to run all potential buys through Portfolio Grader, at the very least. For those of you who subscribe to one of my premium newsletters, I’ll continue to guide you around any trouble spots in the market.
Just as a general reminder, the markets will be closed on Friday—New Year’s Day. But come Monday morning, my team and I will be back bright and early to bring you your weekly stock upgrades and downgrades.
Whatever your plans are, I hope you have a happy and safe New Year and I’ll see you in 2016!