We are at the midpoint of 2020, and it would be an understatement to say it’s been a challenging year so far in the United States and around the world. We’ve faced health, social and economic crises that continue to impact our communities and our economy.
That’s why we’re looking ahead for new ways to face these challenges together and to prepare now for better times. LPL Research’s Midyear Outlook 2020: The Trail Ahead charts a path forward.
We know the stock market is forward-looking: It focuses on what’s happening today and the path ahead. Much of the real-time economic data we follow such as transportation activity, home sales and jobless claims are showing tangible evidence that the economy is making a comeback. The path of the economic recovery remains uncertain. However, based on the deep impact and multi-staged recovery, we expect a 3–5% contraction in gross domestic product in 2020.
It’s still going to be a challenging environment with significant uncertainty that may lead to more volatility for the next few months, especially with the highly anticipated presidential election in November. We continue to encourage investors to focus on the fundamental drivers of investment returns and their long-term financial goals.
LPL Research’s Midyear Outlook 2020 provides updated views of the pillars for investing—the economy, bonds, and stocks. As the headlines change daily, we encourage you to follow these pillars as trail markers on your investment journey to gain perspective and to move forward.
If you have any specific questions or would like to discuss your individual investment strategy, we welcome you to call us at 302.234.5655 or email us at firstname.lastname@example.org to set up a mutually convenient date/time to speak.