market collaps

The black swan is difficult and sometimes impossible, to predict. And yet, if the markets are falling, it means that someone has started to sell. It means that someone is aware of the situation and decides to act, collapsing the markets. This "someone" is the largest banks, investment funds, insiders, and other "close" people and companies, and then the algorithmic robots, smaller funds, traders, and so on down the chain begin to sell. As a result, the global financial markets collapse.

Why are economies cyclical – growth is inevitably followed by decline? The fact is that all processes in the physical world are cyclical. The nature of any economy is based on supply and demand. And both buyers and sellers can be on the strong side. Suppose there is an economy in a phase of active growth, with low inflation, growing GDP, and other positive fundamentals. In such an environment, high and steadily rising prosperity would stimulate demand for goods and services and positively affect all production and increase the stock price of manufacturing companies.

The year 2022 is coming to an end, markets continue their downward movement, the Fed does not cease its hawkish rhetoric... The list of such negative factors could go on for a long time. Perhaps the average investor and trader is not interested in all of this, but something more specific - forecasts, expectations, specific numbers. As part of our pre-New Year's review, which wraps up this turbulent year of 2022, we will try to share our expectations and thoughts with you.