Second Half of 2008 Looks Promising

Posted on January 14, 2008 at 12:24 pm
Filed Under Financial Markets, Financial Planning, Investment Planning

With the new year comes “rate cuts and uncertainty”.

RBC Economists recently said that the first half of 2008 will be “filled with rate cuts and uncertainty” but that the second half of 2008 looks promising in terms of returning to a normal environment with the exception of the housing market. “The US is definitely in a housing recession” says Paul Farley, a Chief Economist with RBC. But he also later states that “the residential investment is only a small part of the GDP”.

Your Take-Away: Most economists say that now is the time to “buy and hold”. There is so much uncertainty and volatility in the markets that for most Canadians it would almost be crazy to try and time the market. Instead, hold on to what you have and the let the eventual upward swing of the overall market strength propel you to another positive growth year.

Until next time, “Buy. Hold. Prosper.”.

Chris

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