Infinity asked in Business & FinanceInvesting · 7 months ago

Why has the stock market essentially been flat since January 21st 2018?

9 Answers

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  • 7 months ago

    Mainly because it got ahead of itself in 2016 & 2017. Thus more modest returns since.  But companies have continued to growth profits, we've just had a bit of PE contraction, while the market returns have slowed.  Honestly we're getting to healthier valuations now with the rotation out of hot growth stocks and into dividend paying stocks. 

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  • Judy
    Lv 7
    7 months ago

    It hasn't been anywhere near flat, even though it's now not real far from where it was then. In that tie it's varied around 6000 points., from around 5000 lower to 1000 higher.

    • Infinity
      Lv 5
      7 months agoReport

      That's a fluctuation less than a quarter of the market. For a long term investor that ignores short term fluctuations, the stock market has not made any progress.

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  • 7 months ago

    Down 6% in 2018,

    But up 19% in 2019.  So seems like we're up 13% since then.  

    • Infinity
      Lv 5
      7 months agoReport

      It's better to find where the stock market started to slow down. That was January 21st 2018. Basically, 21 months of nothing,

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  • 7 months ago

    Investors believe that the US economy has hit a high point and it is likely that there will be a downturn in the economy. In addition, the enormous US government debt is spiraling out of control, and could cause a serious market crisis in a few years.

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  • 7 months ago

    False. The DJIA has been on a consistent upward path for the past three years.

    https://finance.yahoo.com/chart/%5EDJI?ltr=1#eyJpb...

    • Infinity
      Lv 5
      7 months agoReport

      You linked a five year chart to question that pertains to a two year chart.

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  • 7 months ago

    Fear, uncertainty, and doubt.  It rose a lot when companies were given a one-time windfall but has been volatile since then.  Some is Trump's doing with his trade war but there is more than that.  If a single thing could drive the market or even just 20 things then it would be easy to predict.

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  • Anonymous
    7 months ago

    I pay little attention to such short time frames. But since you brought it up, My IRA is up 7.85% from that date despite being 30% in cash. (The rest in stocks)

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  • Anonymous
    7 months ago

    Because no one is investing in this phony market.

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  • Anonymous
    7 months ago

    It hasn't..................

    • Infinity
      Lv 5
      7 months agoReport

      The average has been slightly lower than that, but essentially flat.

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