The Best Stock Market Investment Tips You Need For The Rest of 2019

As 2018 was a tough financial year, the global stock markets assembled together in the first half of the New Year hoping that the US Federal Reserve may cut rates and make some ease in monetary policy. 
The Chinese and Russian stock markets have risen up to almost 30 percent and France and Germany up to 16 percent. Even the fraught FTSE 100 index of the UK has gone up by 10.4 percent.

Shares prices started to rise but were held back as an impact of President Trump’s trade quarrel with China as well as the war threat with Iran. Though the US stock market is high all the time the investors have now become confused, feeling that the US ruling time might be coming to an end and are hence, being caution for the second half of the year.

If you are planning to invest up to an amount of $10,000 over the third quarter of 2019, we have three options for you to consider.

Invest in US Treasuries

While the stock market is very volatile right now, it might seem unwise to keep your invested money in there. However, playing along the game is going to pay off at the end.

The chief financial investment officer at financial advisory Century Financial in Dubai stated that there is a great possibility that the US dollar will lose its top position by the second half of the current year. The reason could be the slowing down of the second biggest economy of the world and the markets also expect the Fed rate to be cut down in July and September.

This can give a temporary motivation to the US bull market, but it is recommended to the investors to not to remain sucked in and try to move their money into some more defensive sectors of stocks.

The purchasing managers’ index (PMI) has dropped to its lowest rate in the previous decade, i.e. to 50.5, and a figure below 50 means contraction, which is not very far away.

Expecting stock markets to become more volatile in the near future, Jakobsen suggests the investors take their profits in US equities and also to invest in the low-risk US Treasuries, which are US government bonds. These bonds have an advantage over other investments that they pay a fixed rate of interest on your investment.

Invest in Gold

While the stock market going down, the prices of gold had a hefty jump of 10 percent in the previous month. A senior market analyst, Chris Beauchamp, stated that with the weakening of the dollar and rising tension in the Middle East, it is likely for the price of gold to go even higher, as the investors are looking for a reliable store of value.

Most of the financial advisors recommend looking towards gold for investing because when the stock market falls, the price of gold rises and vice versa, to balance the volatility. 

However, though gold may not pay you any income, like the paying stocks, invest-bearing savings or rental properties do, in short at the time of market volatility, gold is a safe bet, but it gets popular only at the times of falling interest rate.

The technical analyst of, Fawad Razaqzada, claims this to be a bullish trend of the metal because of the growing concerns and serene central banks. He stated that this resolution may not be good news for gold as China is one of the top nations to consume the yellow metal.

Get Your Attention towards the Asia-Pacific

Though the doomsayers have been warning about a possible market crash for almost a whole decade, it hasn't happened till now. So, there is a fair chance that the stock market will have a usual strong start this year as well.

The co-founder and chief executive of Sarwa, Mark Chahwan, claims that the key to having a successful investment is to keep on the course rather selling out your investments when the market is down. Play along with the game and it will pay out the end for sure.

Don’t run for cover rather buy shares when you can get them at lower prices. The falling market provides you with an opportunity to buy the market shares at a price lower than the previous price. This is going to pay you off in the long term when the stock market is back on its track.

The managing director for MEA in Dubai, Jahangir, recommends avoiding the US shares that have a record high rate. He claims that US equities after a strong rebound have become fully valued and the investors with them are having a slower earning. Rather he suggests looking towards the Asia-Pacific region.

With China having benefitted from this stimulus-led growth by offsetting the trade war slows down, they can take advantage of their neighbor's move. The new emerging market values are quite attractive, and the stocks also seem to be supported by the growth pick-up of China.

An analyst at Aberdeen Emerging Markets Investment Company, Andrew Lister, claims that the emerging markets have attractive valuations, but the global investors are unaware of them. If there actually happens a full-fledged trade war, then these market and investment factors will be of little advantage but if it doesn't happen then the chances to have a rally are very promising.

The portfolio manager of Henderson Far East Income, Mike Kerley, also has something to say about the region's market. He presents us with the facts that show that Asia-Pacific has actually become increasingly attractive for dividend investors as the dividends have jumped to 8.3 percent in April 2019. 

Last Line

For many world market watchers, that Asia-Pacific companies are adopting increasingly a culture of dividend-paying, and this sounds great in the ears of profit-seeking investors.
The Asia-Pacific region can actually help in off-setting the present weakness in global markets.