Fidelity’s Global Macro Director Jurrien Timmer updated the market view after the general correction observed in the stock markets. With the graphics and explanations he shared on the social media platform, Timmer said that the S&P 500 index is in line with the average returns during the past presidential periods.
When will the decline end?
Timmer, in the graph, according to the presidential periods S&P 500 index showed the average return performance. The data in the graph indicates that the current correction period of the index may end around July.
Timmer stated that this indicator should not be given much attention; He stated that periodic data reflects the general trend.
Market estimates Fidelity
Timmer also shared a graph that includes 26 different corrections in S&P 500 from 1906 to the present day. According to this data, the current decline is similar to the correction in 2018. Timmer emphasized the possibility of reaching the base at 4,900 levels of the index, pointing to a modest correction period of market movements for several months.
Jurrien Timmer: “Although it does not give much weight to this indicator, the repetition of the presidential cycle in which the medium -term year (2022) decreased continues to progress in a beautiful way. At present, ‘5th anniversary’ (if it means) and this has decreased on average for the first six months this year.
In another statement, last week’s short breathing process breathed to the markets and the index is still in the 10 %correction area, he said. Evaluations were made that the market could increase an additional 10 %decrease or increase in the future. Considering that the SP500 and crypto coins move together, it should also be seen as estimates that crypto currencies will come.
Analyst stressed that the current market situation is compatible with past data; However, he underlined that the comments did not give precise results.
Timmer’s shares are a reference to the evaluation of the current situation in the light of past data for market participants. The graphs used in the descriptions indicate that market movements are parallel to past trends. In the light of these data, it may be important that investors follow the developments closely.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.
