70th S&P 500 record this year

During yesterday's session on Wall Street, the US indices seemed to continue their good streak. The S&P 500 broke the all-time record for the 70th time this year, the best result since 1995.

So far, in 2021, the S&P 500 has increased by 27,6%, Nasdaq by 22,3 percent, and Dow Jones by 19,2 percent, respectively to the levels of 4800, 16500 and 36500 points.

Will it be worse in 2022?

However, investors seem slightly less optimistic about the 2022 result, where they expect lower returns, according to a new CNBC Delivering Alpha survey. Over 50 percent of the respondents expect that in 2022 S & P 500 will increase by less than 10 percent. Nearly 18 percent believes that the market will hit another double-digit result, while 10 percent. sees the possibility of a sideways trend.

Over half of respondents said inflation would be their biggest concern in 2022. For 30 percent of respondents, the number one problem seems to be an inopportune rate hike by the Federal Reserve. 17 percent of respondents said that they were most concerned about the impact of the continuing pandemic on the economy next year.

About 400 people related to the capital market and investments on Wall Street participated in the survey.

A year of record inflation

For months, investors have watched various inflation figures hit their highs in decades. The US Consumer Price Index, which measures the cost of a broad basket of goods and services, rose 6,8 percent in November. on an annual basis, the fastest pace since June 1982.

Federal Reserve signaled that in response to rising inflation it would take aggressive measures, including accelerating the reduction of monthly bond purchases. Fed representatives predict as many as three interest rate hikes next year.