By Federico Tessore – Investor Passport (Argentina) –
Chinese colleague told us how crazy things got with the Chinese economy earlier this year and how the stock market crashed over a period of just a few months. While things are much better now, the market has not recovered from such a huge upheaval.
Like it or not, politics have a huge influence on the market.
Words like inflation, crisis, recession, and corruption are exactly the words that put the political-economic landscape and the market at odds with each other.
Mr. Market likes stability and predictability. You can only make good medium and long-term investments in a stable environment where the rules are clear and you have a level playing field.