Synopsis
The S&P 500 index has recovered all but 6% of losses triggered by the Covid-19 pandemic.
Current market valuations do not leave a great deal of room for upside over the next 18 months.
Alarmingly, a second wave outbreak is occurring.
Furthermore, in a few months’ time we face presidential and congressional elections and winter is coming – the breeding ground for viruses.
Also, it appears we won’t have a Covid-19 vaccine until year-end.
All told, we have the ingredients for a significant market pullback later this year. That’s not necessarily a bad thing,