Replies to post #80737 on Savvy Trades and Investments

[littlefish]

People have blabbed about how overvalued FAANG has been for many years.

[linuspop]

Wade, just to play the devil's advocate, here are a few things to ponder:

1. This article is worth a read. It outlines where the major investment banks have set their 2021 target prices for the S&P 500.
Target Prices for 2021

2. Insights from one billionaire: Billionaire investor Paul Tudor Jones forecasts the economy will see an 'absolute supersonic boom' in 2021

3. Interesting insights from Bespoke Investment Group (free newsletter released today). Kind of a mixed bag but no signs we are at the edge of the cliff, imo.

"November’s rally put the S&P 500’s total return for the last year to 17.5%, which is nearly six percentage points above the historical average. On an annualized basis, two, five, and ten-year returns are also well above their historical averages, while 20-year returns are still well below average (7.3% vs 10.9%). The market is making up for lost time."



"There have been some concerns regarding the labor market, but based on the ISM Manufacturing report, the problem is more about the supply of labor than demand."




"December has been a positive month for the Dow with positive average returns over the last 100, 50, and 20 years."