December 31, 2024 - 14:37
In a recent discussion on market cycles, Robert Sluymer, a technical strategist at RBC Wealth Management, provided insights into the current state of the financial markets. Sluymer emphasized that market cycles are characterized by recurring patterns of rising and falling asset prices, typically moving through phases of growth, peak, decline, and recovery. He noted that these generational cycles usually span 16 to 18 years, and we are currently in a bull market that began in 2010, which he believes will extend into the 2030s.
According to Sluymer, the market tends to experience "a series of higher highs and higher lows" during these cycles, indicating a sustained uptrend that generally lasts about four years. He pointed out that central bank liquidity and the economy's response to that liquidity, along with corporate earnings, are significant factors influencing these market cycles. For investors, Sluymer advised that while patterns may not be identical each time, understanding these cycles is crucial for effective investment strategies.
