Why the ‘five-day’ rule augurs badly for markets in 2022
If major US stock-market indices rise during the first five trading days of the new calendar year, markets usually perform handsomely for the year overall
Last month, I identified what I saw as the big issues of 2022, noting that I could not recall a time when there were so many sources of uncertainty, both known and unknown. The main issue was inflation, and now that we are a few weeks into 2022, financial markets appear to be worrying about the same developments that concerned me. In fact, the problems we face are becoming more straightforward – depressingly so.