Most analysts were wrong on the US interest rate path.It's that time of year when banks, brokers and analysts issue predictions for what the following 12 months will bring for financial markets.
CNBC looks back at what some analysts said in late 2018 to see what was forecast for 2019 and whether, so far, they have been right.Since January 1, 2019, Brent crude has risen and fallen to end up around 18% higher at just under $64 per barrel by early November. As at November 22, 2019's Brent crude average price stood at $63.59, sitting roughly around the middle of most predictions and a touch lower than theAt the end of 2018, Goldman Sachs was still holding on to a prediction that the Federal Reserve was set to raise rates four times across the year. Pimco, the world's biggest trader of bonds, predicted three additional policy rate hikes from the Fed by the end of 2019.
The price of Treasurys, which moves inversely to yields, rose as investors hunted for a safe place to park cash. In late August, the yield on a 10-year Treasury was lower than the two-year — a phenomenon known as yield curve inversion which many economists treat as a sign of impending recession.accurately predicted that 2019 was likely to mark a peak in U.S. Treasury yields in the current cycle.
They are predictions and investing based on predictions & financial forecasts is a very bad idea, they are made by people who have financial interest in getting you to believe them. The media forgets about these predictions once they are proven wrong. Ask yourself why?