By any measure, 2021 was a strong year for investors. But what’s in store for 2022? From my perspective, I expect that many of the same forces that influenced markets last year will play a role again in the year ahead.
COVID-19 remains tragic and unpredictable. The pandemic was one of the primary drivers of financial market activity in 2021. I hope that the worst is behind us, but I would not be surprised to see COVID-related events influence markets in the New Year.
The Federal Reserve will continue to get its share of headlines. From Fed Chair’s Powell’s nomination hearings to potential changes in interest rates, expect investors' attention to shift to the Fed from time to time in 2022.
Tax law changes are always possible, but many of the anticipated federal tax law changes in 2021 were linked to President Biden’s Build Back Better plan, which ended the year in debate with Congress. So stay tuned here.
Thanks for your confidence in 2021. Here’s to a prosperous new year!