This year is finally over... 2020 is coming to an end! One of the most infamous years on record is taking its final breaths. And I have little doubt that it will be the center of debate for generations. But 2020 wasn't all bad news and drama. Energy and Infrastructure Strategist David Fessler and I made a few predictions back in January. And despite the ups and downs, our forecasts for the year were pretty spot-on... No. 1: The Stock MarketIn January, I predicted the markets would struggle in 2020. COVID-19 was just a blip at that point, but historically, election years are full of volatility, and we were in the midst of the never-ending trade war with China. Dave's forecast was more modest, but he said, "I think tech will continue to dominate sector gains, as it has for the past 10 years." My colleague couldn't have been more right. As the Nasdaq set new all-time highs, the Dow Jones Industrial Average and S&P 500 faltered. No. 2: CannabisI stated, "2020 should be a more positive year as 'Cannabis 2.0' gets up and running in Canada and as U.S. multistate operators focus on sales, not expansion." The U.S. cannabis sector proved its resilience as shares of multistate operators set new highs. The U.S. Marijuana Index gained only 5% year to date, but it more than doubled from its lows in March. And the enthusiasm continued to percolate with five more states approving legalization in last month's election. No. 3: GoldDave and I differed on the issue of gold in 2020. He saw gold remaining flat. I saw it putting together a glittering performance fueled by volatility. The precious metal rocketed to new all-time highs near $2,100 per ounce and is now up more than 25% on the year... outperforming blue chip indexes such as the Dow and S&P. |
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