For all the gains in 2017, Wall Street still thinks the market has room to run into the new year.
“It could be a commodities-led market,” Peter Cardillo, chief market economist at First Standard Financial, told The Post, predicting oil prices of $62.50 to $70 a barrel in 2018.
But “we’ll probably have another good [stock market] year based on economic fundamentals and the tax cut,” Cardillo added.
Some of the 2018 rally may be driven by people who stayed out of the market in 2017.
“There are still many on the sidelines. People will make pain trades,” Arian Vojdani, investment strategist at MV Financial, told The Post, noting that people may “buy at a high because they see no other choice.”
Cardillo cautioned that correction — in which the market falls 10 percent — is possible in 2018.
“A correction would be viewed as healthy and not the end of the bull run,” Cardillo said.
Hopes of looser regulation and lower taxes led the stock market to close out an impressive 2017 in which all of the major indexes saw double-digit gains.
The major trend of the year was “forget politics and think business- friendly administration,” Bruce Bittles, chief investment strategist at Baird, told The Post.
“Some investors focused only on the noise from Washington and the media instead of watching what influences stock prices,” Bittles said.
The Dow Jones industrial average logged 71 record closes in 2017, ending the year up 24.7 percent at 24,719.22. The S&P 500 gained 18.9 percent this year, closing at 2,673.61, while the tech-heavy Nasdaq popped 27 percent, ending the year at 6,903.39.
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