Actions the following week: saying goodbye to a wild 2020

Actions the following week: saying goodbye to a wild 2020

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No one could have predicted market chaos in 2020. Shares hit record highs earlier this year, before concerns about the coronavirus pandemic – first abroad and then closer to home – pushed US markets into a spiraling trend. February and March. The Dow routinely set new records for the worst one-day falls in history, and the New York Stock Exchange had to suspend trading on the S&P 500 several times, while settlement triggered the breakers.

But in the months that followed, the market recovered – and faster than many expected. A major factor in the increase was unprecedented action by the US Federal Reserve to stabilize markets and boost the economy.

Some of the biggest winners of the year are investors who closed their eyes and covered their ears during the pandemic’s liquidation and kept their shares. At the end of the year, their portfolio balances looked very good.

“This has been a year with many reminders for investors: number one, don’t overdo it,” Leo Grohowski, chief investment officer at BNY Wealth Management, told CNN Business.

At the same time, many people will look back on 2020 and be surprised by the stock market’s performance in such adverse economic conditions. The disconnect between Wall Street and Main Street is likely to be a topic that will follow us through the New Year.

America’s economy is nowhere near returning to its pre-pandemic strength and millions of people remain unemployed. The US economy is operating at 82% from where it was at the beginning of March, according to the Moody’s Analytics and CNN Business Back-to-Normal Index.

With stimulus measures recently approved by President Donald Trump and more government aid expected next year, there is a lot to be optimistic for 2021. President-elect Joe Biden’s plans to get the economy back on track will help markets in the coming year. year, even as the excitement over more stimuli may start to wane, said JJ Kinahan, chief strategist at TD Ameritrade.

These sectors were the surprise winners of 2020

In a year of widespread and often devastating difficulties, no business or industry came until 2020 without being affected by the Covid-19 pandemic. But for some important sectors, the news was not all bad.

Here is an analysis of the CNN Business winners and losers together:

Winners

  • Big Tech
  • Housing
  • Solar
  • Bitcoin
  • Great Retail
  • Video games
  • Cannabis
  • Streaming

Losers

  • Travel and hospitality
  • Oil
  • Banks
  • Airlines
  • Malls
  • Carmakers
  • Manufacturing
  • Movie theaters
Check out the full story on CNN Business for an analysis of what’s next for each industry.

Next

Monday: OPEC + meeting

Tuesday: US ISM Manufacturing Index; German employment data

Wednesday: Profit of Jefferies; Federal Reserve minutes; EIA crude oil inventories

Thursday: Bed Bath & Beyond, Carnival, Conagra, Walgreens Boots Alliance and Micron earnings; EU inflation; Initial US claims

Friday: US jobs report; Unemployment in the EU

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