Market Experts Offer Predictions for 2018

A recent article in Money shares the views of a panel of market experts (including Rob Arnott, Jim Paulsen and Liz Ann Sonders, among others) regarding the state of the bull market and the risks and opportunities they see going forward. Here are some highlights: Can the bull market persist? While Sonders remains bullish, she says, “I think we have to start to be mindful of some of the risks.” Paulsen adds that he doesn’t… Read More

Schwab Chief Strategist Warns of Market Headwinds in 2018

In a recent CNBC interview, Charles Schwab chief strategist Liz Ann Sonders warns investors to expect more headwinds given that the economy and the markets are in the late stages of the cycle—and cites increases in both capital spending and productivity as indicators. “That doesn’t mean we’re at an imminent end,” Sonders explains, “but it’s later-cycle-type behavior.” She adds that tighter monetary policy and the Fed’s “unprecedented” shrinking of its balance sheet as factors that… Read More

Sonders Says Recession Risk is Low

Although there are those that believe the U.S. is on the brink of recession, Liz Ann Sonders, Charles Schwab’s chief investment strategist, says the risk is low. This according to CNBC’s report on her commentary at the Morningstar ETF Conference in Chicago earlier this month. While Sonders says there are no clear buy signals at present, the market “could continue to grind higher, but not without drama. An ongoing secular bull market is still a… Read More

Sonders: Market Most Likely in Post-Echo Bull Phase

Liz Ann Sonders, chief strategist for Charles Schwab, outlines the four phases of the stock market over a full market cycle. Since 1960, the market can be seen following the four distinct periods: recession bear, post-recession bull, echo bear and post-echo bull. Recession Bear: these are the big bear markets, usually lasting a few years and averaging declines of 30%. The 2007-2009 bear market, as Sonders points out, fell by 54% so that was a… Read More

Charles Schwab CIO Liz Ann Sonders Sees the Market Within a Bull Pattern

Liz Ann Sonders of Charles Schwab offered a cautiously bullish analysis of the market at the recent Inside ETFs conference. She cited Sir John Templeton’s statement that “bull markets are born on pessimism, grow on skepticism, mature on optimism, and die on euphoria.” She sees the current market in the “mature” phase of the bull cycle. “I don’t want to dismiss any of the concerns out there about the global economy, but if you look… Read More

Volatility and Investor Behavior in Today’s Uncertain Market

The PBS Newshour reports on recent market volatility, noting a series of contributing events. Liz Ann Sonders of Charles Schwab said, “a lot of [the current volatility] really is unfisnished business from 2015, it’s just conspired to occur in a condensed period of time, unfortunately at the beginning of the year, which I think adds to the angst of investors.” She also noted, “we do not think this is the beginning of a big nasty… Read More

5 Signs of a Surviving Bull Market, Says Schwab’s Sonders

Liz Ann Sonders, chief investment strategist with Schwab, believes the bull market will continue. She points to: The lack of new net inflows into equity mutual funds (unprecedented in a bull market like the current one); The S&P has crossed its 50-day moving average more than 50 times so far this year (much higher than earlier in the bull market); Stock buybacks may be supporting rises in stock prices; The Fed is signaling a slow… Read More