International waters are starting to heat up, as multiple\nconflicts are testing the U.S. and global markets at once. While the countries\n(and regions) below may look like the usual suspects, the conflicts are new and\nthe stakes are higher. Here are 5 areas that we think investors need to keep a\nclose eye on moving forward.<\/p>\n\n\n\n
Venezuela \u2013 <\/strong>Developed\nnations around the world, including the U.S., have recognized opposition leader\nJuan Guaido as the legitimate President of Venezuela, while Russia and China\ncontinue to support current President Nicol\u00e1s Maduro\u2019s brute regime. To date,\nthe opposition to Maduro has had little success moving forward, even with the\n\u201con paper\u201d support of the developed world. As the conflict continues,\nVenezuela\u2019s economy has tumbled into near Depression. <\/p>\n\n\n\n What we think investors need to watch<\/em><\/strong>:\u00a0<\/em>Any move by the Maduro government to arrest Guaido or severely thwart his efforts may result in the U.S. and other nations stepping in with military force to confront the situation. Global markets, historically, have tended to correct for longer periods when the U.S intervenes with regime change operations versus limited military strikes.<\/p>\n\n\n\n ________________________________________________________________________<\/p>\n\n\n\n Stay Calm During Market Chaos!<\/a><\/strong> It\u2019s important to maintain perspective during rough periods so you don\u2019t overreact. If you have $500,000 or more to invest, get our free guide,\u00a0How To Avoid Emotional Investing<\/em>. It provides our advice, based on decades of experience, to help you navigate through turbulent times. ________________________________________________________________________<\/p>\n\n\n\n Iran \u2013 <\/strong>the Iran\nsituation has been tenuous for years, but since the U.S. withdrawal from the\nnuclear deal the stability in the region has arguably worsened. Issues came to\na head in the middle of May when Iran announced it would abandon its\ncommitments under the nuclear deal and began escalating movements of\nIranian-backed forces, including in Saudi Arabia. The United States responded\nby posturing for escalation in deploying a carrier strike group to the Middle\nEast and removing diplomats from the embassy, while also declining to allow\nIran\u2019s oil customers to continue making purchases. <\/p>\n\n\n\n What we think investors need to watch:<\/em><\/strong>As tensions rise in the Middle East, investors should keep an eye\non oil prices that may result from supply disruptions. <\/p>\n\n\n\n Europe \u2013 <\/strong>Brexit\nheadlines have faded as the U.K. successfully petitioned for an extension through\nOctober to leave the European Union. But kicking the can down the road doesn\u2019t\nmean the can goes away, and the uncertainty is being coupled with a slew of\nelections taking place this summer that could have wide-ranging implications\nfor leadership across Europe. Nationalist parties that are largely\n\u201ceuroskeptic\u201d have been gaining seats in Italy, Germany, and Spain, and the\nsubsequent weakening of governing coalitions could leave Europe effectively\nleaderless in the back half of the year. <\/p>\n\n\n\n What we think investors need to watch:<\/em><\/strong>Political stability will be key to Europe avoiding recession in\nthe second half of the year. <\/p>\n\n\n\n China \u2013 <\/strong>we have\nwritten about China many times over in this space, but usually with an\noptimistic tone about a trade deal seeming like it could be in the offing. That\npossibility shifted considerably to the negative in mid-May, when talks between\nthe two countries effectively broke down and new rounds of tariffs were put in\nplace. What\u2019s more, the U.S. executive order restricting business dealings with\nHuawei seems like the U.S. doubling down on its leverage to get China to agree\nto a deal, with China\u2019s response being to dig their heels deeper into\nnationalistic resistance. <\/p>\n\n\n\n What we think investors need to watch:<\/em><\/strong>Failure to reach a deal in June could come at a critical time for\nthe global economy, as growth already faces a more uphill battle and\ncorporations may be more reluctant to invest. <\/p>\n\n\n\n North Korea \u2013 <\/strong>the North Korean regime\nis back at it, launching its first missile test since late 2017.3<\/sup>\nThe missile test was just short-range, which is less of an immediate concern\nthan if they were testing intercontinental-range missiles. Even still,\nprovocations from North Korea can add to already rising tensions as described\nabove across the globe, perhaps ultimately contributing to greater market\nvolatility. <\/p>\n\n\n\n What\nwe think investors need to watch:<\/em><\/strong>North Korea seems to want out from under global sanctions, so keep an eye\non additional moves designed to draw attention.<\/p>\n\n\n\n No matter how\nthese stories unfold, it is impossible to control the highs and lows of market.\nBut there are ways you can manage the highs and lows of your own emotions and\nstay focused on your long-term goals. <\/p>\n\n\n\n In our view, staying invested is key – since 1926, investors who remained in the market over the long-term\ncame out ahead 99% of the time.4<\/sup><\/strong><\/p>\n\n\n\n If you have\n$500,000 or more to invest, get our free guide, How To Avoid Emotional Investing<\/em>.5<\/sup> It provides our\nadvice, based on decades of experience, to help you navigate through turbulent\ntimes.<\/p>\n","protected":false},"excerpt":{"rendered":" International waters are starting to heat up, as multiple conflicts are testing the U.S. and global markets at once. While […]<\/p>\n","protected":false},"author":3,"featured_media":7426,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[71,73],"tags":[],"class_list":["post-8059","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-private-client-group","category-steady-investors-week"],"acf":[],"_links":{"self":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/8059","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/comments?post=8059"}],"version-history":[{"count":1,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/8059\/revisions"}],"predecessor-version":[{"id":10751,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/8059\/revisions\/10751"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/"}],"wp:attachment":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/media?parent=8059"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/categories?post=8059"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/tags?post=8059"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
Investing is emotional. A bull market can be as exhilarating as a bear market is terrifying (ask any investor who went through 2008). But in our view staying invested is key – since 1926, investors who remained in the market over the long-term came out ahead 99% of the time.1<\/sup><\/strong><\/p>\n\n\n\n
<\/a>Download Our Guide, How To Avoid Emotional Investing.<\/a>2<\/a><\/sup><\/strong><\/p>\n\n\n\n