Ask any economist about the likely dangers of 2026 and they will say inflation. Before I cite the 3 reasons to worry about inflation, here is the chart of annual stock indices' returns, mentioned in my last video. Next year is a mid-term election year, typically a volatile year. What's the likelihood we'll get a 4th straight positive year?. Now onto those 3 reasons.
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Latest Hot-Chart - Dec 17
EURGBP & Bank of England
Today's weaker than expected UK CPI sharply boosted EURGBP and dragged down GBPUSD on improved expectations the BoE will cut rates tomorrow (Thursday).
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Uncertain December
The oscillating changes in market expectations for the December FOMC meeting implies more volatility into the next 4 weeks.
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