Strome Business Minute With Dr. Jeff Tanner

I’m Jeff Tanner, Dean of the Strome College of Business at Old Dominion University and this is a Strome Business Minute. Over the holidays, the question I got asked the most was, “Can the stock market stay healthy in the coming year?” The answer is yes of course, but don’t expect an increase in the Dow of twenty-eight percent like last year. That increase came off a major decline in December 2018. But even the two-year increase in the Dow was pretty phenomenal. The real question isn’t whether stock prices will go up but whether earnings will. Unfortunately, predictors don’t look good. Manufacturing numbers are down, as is the Conference Board’s Consumer Confidence Index. Barring a trade war or a shooting war, the economy should grow slowly, which could mean greater stock price volatility as earnings vary, but relatively flat or modest overall market growth. To find out more, visit odu.edu/business. This Strome Business Minute is presented by the Strome College of Business at Old Dominion University.