Most investors are currently bullish on the market. With the
global economic growth gaining momentum and stocks still not too
expensive, the market may continue its uptrend, though gains this
year may not be anywhere close to last year's.
But there are a number of things that could go wrong.
Some of the biggest risks are:
1. QE tapering may not be smooth
2. A credit crisis in China
3. An ugly debt-ceiling debate
4. Relapse of Euro-zone debt crisis
5. A rise in geopolitical risks
In my view, #1--'taper tantrum' is the biggest risk in the coming
months. Faster than expected rise in interest rates could rattle
financial markets, stall the housing recovery and cause another
melt-down in emerging markets.
What do you think?
PIMCO-TOT RETRN (BOND): ETF Research Reports
SPDR-DJ IND AVG (DIA): ETF Research Reports
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NASDAQ-100 SHRS (QQQ): ETF Research Reports
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