The Great Debate UK

Are we heading for a double dip recession?

-Kully Samra, UK Branch Director, Charles Schwab. The views expressed are his own.-

Over the last couple of weeks we have heard some commentators talking about the possibility of a double dip recession sparking fear for many investors.   Whilst I understand the reasoning for such fears, at Charles Schwab we do remain relatively optimistic on the United States economy and the market.

We don’t argue with the concerns regarding the U.S.  economy as recent economic data from the States has been consistent with a soft patch.  Jobs data has been disappointing and other reports have been moderate. The economic data has been murky at best, leaving investors uncertain about what to do going forward.

But are we headed into the dreaded double dip recession that’s received more and more media attention? Or are we settling into an economic growth rate that, after the initial V-shaped rebound off the economic trough, is more consistent with low but stable growth?

Signs are positive for markets and economy

-Kully Samra is UK Branch Director at Charles Schwab. The opinions expressed are his own.-

There is no doubt that since the lows in March 2009 the U.S. market has rallied massively. However, at Charles Schwab we believe that whilst economic progress will continue, we must look to the months ahead with some caution.  We remain optimistic regarding the equity markets in the longer term and the economy in the short term, but recognise that increased volatility will likely characterise 2010.

Light at the end of the tunnel for the U.S. economy?

- Kully Samra is UK Branch Director, Charles Schwab. The opinions expressed are his own.-

The last year was an unbelievable roller coaster ride in the financial world.  In the U.S. we saw the S&P 500 plunge to 667, a 12-year low, in March, and then rise over 60 percent from that low as the economy moved away from the edge of the cliff and started to recover.

Is it time for investors to look towards the U.S.?

-Kully Samra is branch director at Charles Schwab, UK. The opinions expressed are his own.-

The economic crisis that has prevailed over the global markets in the last 12 months has undoubtedly rattled investors worldwide, but rather than leaving their heads in the sand, seasoned investors have continued to search for opportunities amidst the instability.