Entering text into the input field will update the search result below

S&P 500 Weekly Update: A Buying Stampede That Left The Majority Of Analysts Behind


  • There is no debate, plenty of analysts and stock market pundits got the 2020 “stock market story” horribly wrong.
  • Despite the concerns and ongoing issues, the stock market is following the "V" shaped economic recovery by making new highs.
  • Unless there is a change in tax structure, corporate earnings will rebound sharply in 2021, and GDP estimates may be too low.
  • Looking for a helping hand in the market? Members of The Savvy Investor get exclusive ideas and guidance to navigate any climate. Get started today »

"Things are not always what they seem; the first appearance deceives many; the intelligence of a few perceives what has been carefully hidden." - Phaedrus

If you were expecting a bit of a pullback to start December following November's big gains, it didn't come last week. While November's performance for the U.S. and global equities was, in many cases, the equivalent of a good year, December's MTD returns already would be considered a great month.

Major U.S. equity indices are all up around 2% already, and the small-cap Russell 2000 is up close to 4%. Every sector except for Utilities is also up on the month, but Energy is by far the biggest winner with a gain of over 10%. Even after that gain, though, it is still down nearly 30% on the year.

In many ways, this bull market has behaved just like many others before it. However, that's not how it is perceived by some. There are a few "catchphrases" that have been associated with this market, but lately, there is one that stands out. The "market doesn't care" is now a popular comment, and it's worthy of discussion.

Really? That depends on how an individual perceives what is taking place in front of their eyes. There is a contingent that believes that every headline is being dismissed. Of course, they are talking about the negative headlines. "The market doesn't seem to care that COVID cases are exploding"; "more localized lockdowns are being ordered due to this "Health" event"; "No one seems to care that there are still so many unemployed," and the list goes on and on. Their view is that no matter how dire things really are stock prices rise no matter what.

Stocks have persistently defied the skeptics, despite this wild ride that the market has

Two more installments in my series "Outlook for 2021" were released to members this past week. It's an important time for investors to grasp what has occurred in the stock market and how that will impact investment plans for next year. How will you react if this recovery is botched? 

I have followed the yellow brick road to portfolio gains in what was one of the most difficult investment environments ever seen. The Savvy Investor Marketplace service is all about teaching people how to invest.

Many investors were left behind in 2020 - it is time to graduate. 

Please consider joining in on our success.

This article was written by

Fear & Greed Trader profile picture
Rise above "average" and be part of our winning team.

INDEPENDENT Financial Adviser / Professional Investor- with over 35 years of navigating the Stock market's "fear and greed" cycles that challenge the average investor. Investment strategies that combine Theory, Practice, and Experience to produce Portfolios focused on achieving positive returns. Last year I launched my Marketplace Service, "The SAVVY Investor", and it's been well received with positive reviews. I've been part of the SA family since 2013 and correctly called the bull market for over 8+ years now. 

MORE IMPORTANTLY, I recognized the change to the BEAR MARKET trend in February '22. 

Since then investors that followed my NEW ERA investment strategy have been able to survive and profit in this BEAR market. Winning advice that is well documented, helping investors to avoid the pitfalls and traps that wreak havoc on a portfolio with a focus on Income and Capital Preservation.

I manage the capital of only a handful of families and I see it as my number one job to protect their financial security. They don’t pay me to sell them investment products, beat an index, abandon true investing for mindless diversification or follow the Wall Street lemmings down the primrose path. I manage their money exactly as I manage my own so I don’t take any risk at all unless I strongly believe it is worth taking. I invite you to join the family of satisfied members and join the "SAVVY Investor".

Analyst’s Disclosure: I am/we are long EVERY STOCK/ETF IN THE SAVVY PLAYBOOK. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

This article contains my views of the equity market, it reflects the strategy and positioning that is comfortable for me. IT IS NOT A BUY AND HOLD STRATEGY. Of course, it is not suited for everyone, as each individual situation is unique. Hopefully, it sparks ideas, adds some common sense to the intricate investing process, and makes investors feel calmer, putting them in control. The opinions rendered here, are just that – opinions – and along with positions can change at any time. As always I encourage readers to use common sense when it comes to managing any ideas that I decide to share with the community. Nowhere is it implied that any stock should be bought and put away until you die. Periodic reviews are mandatory to adjust to changes in the macro backdrop that will take place over time. The goal of this article is to help you with your thought process based on the lessons I have learned over the last 35+ years. Although it would be nice, we can't expect to capture each and every short-term move.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.