Welcome to the Roaring ’20s, but Maybe Not for Stocks
Welcome to the Roaring ’20s. When the world finally bids good riddance to Covid-19, courtesy of a bevy of novel vaccines, expect Americans to emerge from their lairs with a joie de vivre not seen since the 1920s. That’s marvelous news for the economy, which could use some cheer after a punishing year, and for the many companies that will help keep the good times rolling.
Just don’t expect the party on Main Street to spread to Wall Street, which had a rollicking celebration of its own this past year. As a consequence, stock prices are now sky-high, speculation is rampant, and the good news, as they say, is firmly baked into many shares. For stocks, alas, it could be the Boring ’20s, or at least a muted 2021.
That’s the rough consensus of the 10 investment pros on the Barron’s Roundtable who met on Jan. 11 to parse the prospects for investors, the economy, the country, and the world in the year ahead. It was a Roundtable like none other, as one might expect amid a pandemic, and in the aftermath of a blisteringly divisive election and the shocking attack on the Capitol by supporters of President Donald Trump. Among other things, this Roundtable was the first in the institution’s 53-year history to be held virtually, via Zoom.
....
Full pdf attached