The Financial Outlook For 2016

A few years ago when this website was originally started the big question was whether the US was going to go over the so-called “fiscal cliff”. And while that certainly made for exciting, edge of your seats headline, the fact of the matter is that this was, in my humble opinion, never a real threat.

Why? Because the US economy is not something that can ever be fully understood by the public. Sure, there are a lot of economists, with fancy degrees who will talk for hours about government policy and the ramifications of this loophole, or that exemption, and they’ll feel oh-so-smart for their “understanding” of the economy, but really they are totally clueless! It just makes them feel good to think that they know what is going on, and if they can get some University or some corporation to pay them a decent salary for being an “expert” then more power to them, I guess.

My point is this, listening to these experts is a complete waste of time for the typical American investor/citizen. Sure, if your career is centered around debating things like fiscal cliffs and economic policy, then I guess it makes sense to follow what the “experts” are saying. But, if you are part of the other 99.992% of the population, it’s probably a better idea to ignore all that nonsense and focus on what really matters – your own personal financial situation.

Which brings us (finally) to the subject of today’s post – the financial outlook for 2016.

It’s hard to believe, but the great recession of 2008 was 7 years ago, and the past few years the stock market has been delivering healthy returns for investors. Of course there are those economic “experts” who will tell you that the market is about to crash and that we are on the verge of another recession, if not a full blown economic collapse, buhahaha.

Instead, I have a bit of a rosier outlook… And I’m not the only one. Here’s an article about that on the New York Times website.

That sounds pretty good. But what about the stock market”? How that going to be doing in 2016?

Well, according to Forbes.com“Market pundits predicting ‘crisis’ and ‘crash’ deserve our mocking laughter”

I love it. Their article goes on to say that market crashes are: “…the result of new information entering the marketplace, not what you, me, and the pundits already know.”

Which is exactly my point. These guys have no idea. All we can make our investing decisions on is the information that we do have, and based on the info I’ve come across, thing are looking just fine.