{"id":169736,"date":"2020-04-30T10:30:04","date_gmt":"2020-04-30T14:30:04","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=169736"},"modified":"2020-04-30T09:28:17","modified_gmt":"2020-04-30T13:28:17","slug":"v-shaped-economic-revival-fuelled-by-fomo","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2020\/04\/v-shaped-economic-revival-fuelled-by-fomo\/","title":{"rendered":"V-shaped economic revival, fuelled by FOMO"},"content":{"rendered":"
April 30, 2020<\/div>
\r\n<\/div><\/div>

By George Prior<\/strong><\/p>\n

The Fear Of Missing Out (FOMO) is likely to drive financial markets significantly higher in the coming weeks, predicts the CEO of one of the world\u2019s largest independent financial advisory organizations.<\/p>\n

The prediction from Nigel Green, founder and chief executive of deVere Group, which has $12bn under advisement, comes as global stocks scored significant gains on Wednesday.<\/p>\n

Benchmark stock indexes in the U.S. \u2013 the world\u2019s largest economy \u2013 gained 2.9 per cent on the day, bringing the total gains since the market bottomed out last month to an impressive 31 per cent for the S&P 500 index.<\/p>\n

Elsewhere, the FTSE100 in London closed at its highest in seven weeks, echoing upswings on European and Asia-Pacific indexes.<\/p>\n

Mr Green says: \u201cWe\u2019re witnessing what is likely to become a powerful recovery in global stock markets as investors look ahead to the latter half of 2020 and into 2021.<\/p>

\r\n
\r\n

Free Reports:<\/p><\/div>\r\n

\r\n

<\/a>\r\n\t Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p>

\r\n
\r\n
\r\n

<\/a>\r\n\t Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p>

\r\n<\/div>\r\n

\r\n
<\/div>\n

\u201cThey are shrugging off the entirely expected current poor economic data \u2013 this has largely been priced in already.<\/p>\n

\u201cInstead, investor optimism is being reinforced by reports of major progress in the effort to develop coronavirus treatments. Also as central banks continue to roll out and further enhance their stimulus packages, and as crippling lockdown restrictions around the world begin to ease to revive economies.\u201d<\/p>\n

He continues: \u201cWith investors gaining confidence, a V-shaped post-pandemic economic revival is now being priced in.<\/p>\n

\u201cInvestor exuberance is contagious. As the markets move steadily higher – unfazed by the recent poor economic data from the peak of the pandemic \u2013 it can be expected that the uptick will further sharpen due to that powerful investor sentiment: FOMO.<\/p>\n

\u201cThe Fear Of Missing Out will drive many investors \u2013 including myself \u2013 off the sidelines.<\/p>\n

\u201cWith a recovery on its way, they don\u2019t want to miss out on the current value in the market long-term, with has the effect of driving markets higher.\u201d<\/p>\n

At Wednesday\u2019s closing bell, the S&P 500 index, Wall Street\u2019s benchmark, had clawed back 60 per cent of the losses suffered through February and March. This, says, Nigel Green, illustrates the trend he describes.<\/p>\n

\u201cInvestors know that the closer we get to a covid-19 drug, and the more economies are reopened, and as trillions and trillions from stimulus packages kick in, the more the rebound will take hold\u00a0 – and they don\u2019t want to miss the boat.\u201d<\/p>\n

The deVere CEO concludes: \u201cA bit like this invisible virus, we don\u2019t know what\u2019s going to happen day by day, but we do know ultimately economies adapt and so do people.<\/p>\n

\u201cThis is why, as history teaches us, that over the longer-term the performance of stock markets is fairly predictable: they go up.\u201d<\/p>\n

About:<\/strong><\/p>\n

deVere Group is one of the world\u2019s largest independent advisors of specialist global financial solutions to international, local mass affluent, and high-net-worth clients.\u00a0 It has a network of more than 70 offices across the world, over 80,000 clients and $12bn under advisement.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

By George Prior The Fear Of Missing Out (FOMO) is likely to drive financial markets significantly higher in the coming weeks, predicts the CEO of one of the world\u2019s largest independent financial advisory organizations. The prediction from Nigel Green, founder and chief executive of deVere Group, which has $12bn under advisement, comes as global stocks […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-169736","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/169736","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=169736"}],"version-history":[{"count":1,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/169736\/revisions"}],"predecessor-version":[{"id":169737,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/169736\/revisions\/169737"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=169736"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=169736"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=169736"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}