Lsbcal
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
We are 3 years (36 months) into the current decade of the 2010’s. Maybe this will be called the “teens” now that we are in 2013? Anyway, I decided to stack the decades on top of each other and look at the resulting chart. It’s just a handy way to view previous US stock markets, nothing magic here.
Sorry if the chart looks a little complex and congested but if you spend a few minutes it will make sense. The thick blue line is where we stand in this decade as of the end of December 2012. I also laid down a 7% growth line (red dashed line) for reference. I think this is roughly the market average over many years after inflation.
What stands out to me is how terrible the 2000’s (in orange) turned out compared to past decades. Even worse then the 1940’s WW2 decade and also the 1970’s. But note I didn’t plot the 1930’s which preceded the WW2 decade.
Perhaps the experiences of the 2000's has made us a bit too pessimistic now? I'd like to think so. I’m hoping for a wobbly move that follows the 7% slope upwards – but no guarantees.
Sorry if the chart looks a little complex and congested but if you spend a few minutes it will make sense. The thick blue line is where we stand in this decade as of the end of December 2012. I also laid down a 7% growth line (red dashed line) for reference. I think this is roughly the market average over many years after inflation.
What stands out to me is how terrible the 2000’s (in orange) turned out compared to past decades. Even worse then the 1940’s WW2 decade and also the 1970’s. But note I didn’t plot the 1930’s which preceded the WW2 decade.
Perhaps the experiences of the 2000's has made us a bit too pessimistic now? I'd like to think so. I’m hoping for a wobbly move that follows the 7% slope upwards – but no guarantees.