Now that 2023 is officially in the history books, let’s review my 2023 market predictions to see how close I got! On this episode, we’ll be reviewing last year’s market predictions as well as making new ones for the year ahead.
In 2023, I made a set of market predictions that turned out to be a mix of spot-on calls and a couple of surprises. The S&P 500, despite a shaky start, rallied close to 25% by year-end, proving my forecast of a 28% increase nearly accurate. Growth stocks once again outperformed value stocks, showcasing a long standing trend. The Russell 1000 Growth Index, led by tech giants like NVIDIA, Microsoft, and Amazon, soared by 43%, while its value counterpart only managed an 11.42% return, emphasizing the significance of growth stocks in the market.
However, not all my predictions hit the mark perfectly. Small-cap stocks were anticipated to outshine large-cap ones, but while the S&P 500 surged, the Russell 2000's late-year rally still fell short of my expectations. On the other hand, Bitcoin's unprecedented surge, earning a staggering 154% compared to gold's 13% gain, validated my projection of Bitcoin outperforming gold. Finally, foreseeing the Federal Reserve's rates finishing around 5.25% by the end of 2023 proved accurate, aligning with the prevailing economic climate. Nonetheless, amidst these forecasts, the underlying advice remained clear: diversification is key in navigating the unpredictability of the market.
Listen to this episode for my 2024 predictions!
