Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should remain wary.

US workers are in a strong negotiating position
(Image credit: © 2016 Bloomberg Finance LP)

“The equity rally has resumed,” says Rupert Thompson of wealth manager Kingswood. De-escalation in the Middle East and the prospect of a “phase one” US-China trade deal have helped lift the mood. Global equities are up by 12% over the last three months. December 2019’s “Santa rally” was particularly strong, notes The Economist, with America’s S&P 500 rising 2.9%. That index sets the mood for global markets. The FTSE All-World, a global stock gauge, had its best year since 2009 last year, returning 24% in dollar terms.

Why stocks are still appealing

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Markets editor

Alex is an investment writer who has been contributing to MoneyWeek since 2015. He has been the magazine’s markets editor since 2019. 

Alex has a passion for demystifying the often arcane world of finance for a general readership. While financial media tends to focus compulsively on the latest trend, the best opportunities can lie forgotten elsewhere. 

He is especially interested in European equities – where his fluent French helps him to cover the continent’s largest bourse – and emerging markets, where his experience living in Beijing, and conversational Chinese, prove useful. 

Hailing from Leeds, he studied Philosophy, Politics and Economics at the University of Oxford. He also holds a Master of Public Health from the University of Manchester.