Since the benchmark S&P 500 ( SNPINDEX:^GSPC ) bottomed out in March 2020, investors have been treated to historic gains. It took less than 17 months for the widely followed index to double from its closing low during the pandemic. Further, the S&P 500 gained 27% last year, which is well over double its average annual total return of 11%, including dividends, since 1980. But if history has demonstrated anything, it's that volatility, crashes, and corrections are a normal part of the investing cycle, and the price of admission to what's arguably the greatest wealth creator on the planet. In 2022, we may well witness a stock market crash , and one of the following 10 factors could be the catalyst that causes it. Image source: Getty Images. 1. The spread of new COVID-19 variants Arguably the most glaring concern for Wall Street continues to be the coronavirus and its numerous variants. The unpredictability of the spread and virulence of new COVID-19 strains … [Read more...] about 10 Reasons the Stock Market Could Crash in 2022
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Despite an uptick in volatility over the past couple of weeks, it's been another slam-dunk year for the stock market. Through Tuesday, Dec. 7, the benchmark S&P 500 ( SNPINDEX:^GSPC ) had gained nearly 25%. To put this figure into context, the widely followed index has averaged an annual total return, including dividends, of around 11% since 1980. There's no mincing words: It's been a good year for many big-name companies. But history also shows us that stock market crashes and double-digit percentage corrections are commonplace. As we get ready to steam forward into a new year, the following seven factors stand out as the biggest threats to the stock market in 2022. Image source: Getty Images. 1. The Federal Reserve panicking over inflation Arguably the biggest concern for Wall Street in 2022 is how the Federal Reserve handles rapidly rising inflation (the rising cost for goods and services). Throughout 2021, Federal Reserve Chairman Jerome Powell has … [Read more...] about The 7 Biggest Threats to the Stock Market in 2022
At this point, a lot of people are experiencing pandemic-related fatigue. We're tired of wearing masks, having to practice social distancing, and hearing negative news on the COVID-19 front. So the recent discovery of the omicron variant is clearly the last thing a lot of people need right now. At this point, it's unclear as to how much of a game changer the omicron variant has the potential to be. While initial evidence shows that the variant is highly transmissible, we don't know if it causes more severe disease. Similarly, we don't know how effective our existing array of COVID-19 vaccines are at attacking it. Image source: Getty Images. But one thing we do know is that the stock market has already experienced its share of turbulence this week in light of the omicron news. And that may be a scary thing for investors to stomach. But should you dump your stocks due to omicron variant fears? The answer is actually pretty simple. Stay the course This week's stock … [Read more...] about Should You Sell Off Stocks Due to the Omicron Variant?
With more and more states legalizing medicinal and adult-use cannabis, it may seem as if investing in this space would be a no-brainer. While some may feel that way, in reality there are still legal and regulatory challenges that have held back what otherwise would likely be a booming industry. Planet 13 Holdings ( OTC:PLNH.F ) has a unique strategy that just might give it a leg up in the cannabis space. So what will happen to Planet 13's stock in 2022? Will it skyrocket to the moon or crash back to Earth? Image source: Getty Images. Recovering from pandemic restrictions Planet 13 is a vertically integrated cannabis company, meaning it does everything from growing cannabis to testing, distributing, and selling. It mainly operates in Nevada and California but is already expanding beyond those two states. What sets the business apart is its unique retail experience. In both Las Vegas and Orange County, California, Planet 13 operates "Superstores," massive retail … [Read more...] about Planet 13 Stock in 2022: Skyrocket or Crash?
Technology giant International Business Machines ( NYSE:IBM ) recently completed a long-awaited spinoff, setting Kyndryl Holdings ( NYSE:KD ) apart as a separate business and independently traded stock. IBM shareholders, including Yours Truly, received 1 Kyndryl share per 5 shares of IBM in the process. So now I'm both an IBM investor and a Kyndryl shareholder. Should I hold on to both of them, or is it time to sell one and reinvest that cash in the other? And then we have investors who didn't own any IBM stock on Nov. 4 2021, asking a different question -- which slice of the former IBM entity is the better place to park new money? What is this Kyndryl company, anyway? Kyndryl was created in late October when IBM followed through on a spinoff plan that was first announced more than a year earlier. The original idea was to detach the company's managed infrastructure services from IBM's cloud computing ambitions. At arm's length from Big Blue's cloud-based services … [Read more...] about Better Buy: IBM or Kyndryl?
The Year of the Tiger is just around the corner, and many Chinese families are sprucing up their homes with colourful flowers and plants. According to Chinese tradition, flower blossoms symbolise growth and usher in prosperity and abundance. Kuala Lumpur-based plant nursery assistant manager Lee Mei Kuan, 29, has stocked up on over 30 popular plants for the Lunar New Year. According to Lee, some hot-selling plants at her nursery include lucky bamboo, orchids, pussy willow and money plant. “As our government has relaxed the Chinese New Year SOP, especially with larger reunion dinners and house visits allowed, people are in high spirits and eager to welcome the Year of the Tiger in a more relaxed way. “Many people are coming out to buy some of their favourite festive plants to ensure their house is decked up for the upcoming festival,” said Lee during an interview in Kuala Lumpur.She added that there is also a demand for pots in various colours, ornament plant trimmings such as … [Read more...] about Top 5 lucky plants to welcome the Year of the Tiger