5min chapter

The Compound and Friends cover image

A Very Tom Lee Christmas | What Are Your Thoughts?

The Compound and Friends

CHAPTER

Six Reasons Why We're Going to Have the Highest Stock Market Gain Since 2020

Next year has the highest probability of a double digit stock market gain since 2020, says Tom Zoellner. He thinks inflation is fixed and that it's going to really cause an abrupt shift in the Fed's framework. The average stock gain in a year when delivered vol or the VIX drops around 20% is more than 20%. It's rare for stocks to post back-to-back negative return years; volatility rarely posts two years of gains. And then we think earnings have a lot of tailwinds including dollar falling.

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