Welcome to 2022!
May 2022 bring us peace, prosperity, and a whole lotta love.
And some greater certainty about what lies ahead.
You're probably seeing an endless parade of emails, listicles, and thought pieces loaded with predictions for 2022.
Will these predictions be right?
Probably some of them.
Will they be wrong?
Almost certainly.
Predictions are usually forgotten about once "the next big thing" comes around, anyways.
Is there value in looking at the current state of things and thinking about where things will take us?
Probably.
I also think revisiting predictions to see where and why we got it wrong is a great exercise in how complex our world really is.
Rather than issue predictions, here are some trends I see for the year ahead.
There's hope for better things to come in 2022.
I'm hopeful that medical advances, like Pfizer's at-home anti-viral pill, and decreasing virulence could help reduce the impact of COVID on our lives.1
The economy looks poised for more growth.
Current estimates suggest the economy will continue to grow this year, faster than typical historical trends.2
We'll see how things like variants, spending, hiring, and inflation play out.
Politics will dominate headlines, again.
Mid-term elections mean politics will play a big role in the media.
Election years always mean uncertainty, and that often rattles markets. However, historical analysis shows that markets typically bounce back after election uncertainty is over.3
While the past doesn't predict the future, it's a good reminder of why we don't let elections drive strategy.
Folks are ready for some kind of normal.
What does normal look like in 2022?
Will it look like what we had before the pandemic? Will it be completely different?
Eric Maldonado, CFP®, MBA
Aquila Wealth Advisors, LLC
(805)250-4552 | eric@aquilawealth.com
872 Higuera Street, San Luis Obispo, CA 93401
P.S. Need some inspiration for the new year? Here's a curated list of Ted talks to get you going. I think the talks on happiness and stress are particularly fascinating.
3- https://us.etrade.com/knowledge/library/perspectives/daily-insights/midterm-elections-stocks
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