As we celebrate the new year, the joy of leaving 2020 behind is clouded by the uncertainty that lies ahead: will 2021 be any better? We think it will be – eventually. Right now, we are in peak COVID-19 in much of the world, but forecasts are for a synchronized global economic expansion.
November was a spectacular month for global stock markets as the positive resolution to the U.S. election and the announcement of effective COVID-19 vaccines sparked a rally. With a good December, 2020 could look like a “normal year” for a typical balanced portfolio of stocks and bonds.
In this Market Commentary, Scott Blair, Chief Investment Officer, explores the different sectors affected by COVID-19 and provides insights into how we anticipate each industry will stack up in a post-pandemic world.
Going into the election, many market watchers worried about a contested result. The market hates uncertainty and it would have been reasonable to expect a potential selloff in stocks the morning after a “to be determined” presidential result. Yet we woke up to a sizable rally. How is this possible?
In this Market Commentary, our team discusses the current state of bonds and whether it is still a reasonable investment considering the lower returns.