The Holiday Season Isn’t Exactly Shaping Up As A Holiday For Investors

Untitled-1Thanksgiving weekend usually represents a lull in the stock and monetary markets worldwide (it is still a US-led economic landscape, after all). Like most years though, this weekend seems just to be the calm before the storm.

Here are three big investment issues that will affect the United States at large over the coming week.

Oil Meetings to Be Held This Week

OPEC will be holding their latest round of meetings this upcoming weekend. The big issue on the table? Production. Gas prices have fluctuated a bit but generally hovered around $2/gallon for the past few months, mostly due to OPEC nations opening up the floodgates and exporting more oil. Rather than send prices into a free fall they may start holding back production, allowing the market to “normalize”. For consumers, this means a gas hike right in time
for the holiday season.

Interest Rates Should Be Rising Soon

In a case of bad news on the surface, but good news when you really look at it: the Fed is going to be raising rates in the next few weeks barring an unforeseen economic collapse. November’s job report is expected to show net gains in the private sector once again. It is also expected that consumers will be spending big this holiday season. All in all, things are looking up for the American economy.

An unconnected tidbit regarding the fed as well: members will be testifying this week regarding the emergency powers granted to the institution during the Great Recession, and how members of the Fed wielded those powers. It is a divisive issue, with some saying the Fed saved the country while others say it is pointing us right back towards ruin.

Slow Stock Market On The Weekend Could Just Be A Gear Up For The Holidays

With the stock market closed in observance of the Thanksgiving holiday and a surprisingly low volume of trades during Fridays action, there are a few who think that the market may be in line for a short-term slowdown.

If history is any indicator though, the action is going to pick right back up on Cyber Monday. The online shopping holiday seems to mark the beginning of a frantic season of buying and selling to close out the calendar year. What does this mean for the average investor?

Well, more often than not the stock market makes a nice jump during this time of year. Those holding stock in retail and entertainment businesses should see a nice burst in their portfolio as well, followed by a bit of a slowdown into the new year.

The financial world changes on a dime, so never take this word as the final word. Want to stay on top of what is going on in the world of investing? Keep on coming back here. Once it hits the wire, this will be the best place to find the latest news and revelations on the world of finance.

About Joshua Simmons