Skip to content

Investors should brace for worst period since WW2, says top US diplomat

Investors should brace for worst period since WW2, says top US diplomat
Elmaz Sabovic

The recent phase in the stock market has been challenging, marked by concerns about potential reversals.

Factors such as the Federal Reserve’s decision not to cut interest rates this year, escalating tensions between Iran and Israel, and semiconductor stocks like Nvidia (NASDAQ: NVDA) and Super Micro Computer (NASDAQ: SMCI) experiencing losses after sustained gains have contributed to this unease. 

According to former top US diplomat Richard Haass, despite these setbacks, the tough times in the market are far from over.

US elections, China, and more could rock the stock markets

According to Haass, a seasoned US diplomat, investors are advised to prepare for a highly precarious environment amid soaring geopolitical tensions and an impending US election that could reshape its global stance.

Haass, now a senior counselor at Centerview Partners, emphasized the need for caution during a Bloomberg interview, urging investors to fasten their seat belts.

He highlighted concerns about Democrats and Republicans vying for a more protectionist stance towards China, potentially leading to inflationary pressures. Additionally, Haass expressed apprehensions about potential post-election turmoil and the functionality of the US government, particularly if former President Donald Trump is re-elected and pursues further disruption of longstanding global alliances. 

Despite some positive developments, such as strengthened US-Japan ties, Haass emphasized the critical role of the US in maintaining global stability and urged CEOs to support pro-democracy and internationalist policies.

This week could be crucial for the stock market

Recent market volatility has wiped out many gains from the first quarter of 2024, setting the stage for a potentially pivotal week ahead. Four members of the ‘Magnificent Seven’ are scheduled to report their earnings, and any results falling short of expectations could push the S&P 500 into correction territory, emphasizing a bearish outlook.

Additionally, investors are closely watching the March PCE inflation data, as higher-than-expected figures could further dampen market sentiment.

Summa summarum this week’s reports carry significant weight, and the stakes couldn’t be higher.

Buy stocks now with eToro – trusted and advanced investment platform

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.

Best Crypto Exchange for Intermediate Traders and Investors

  • Invest in 70+ cryptocurrencies and 3,000+ other assets including stocks and precious metals.

  • 0% commission on stocks - buy in bulk or just a fraction from as little as $10. Other fees apply. For more information, visit

  • Copy top-performing traders in real time, automatically.

  • eToro USA is registered with FINRA for securities trading.

30+ million Users
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. eToro USA LLC does not offer CFDs, only real Crypto assets available. Don’t invest unless you’re prepared to lose all the money you invest.

Read Next:

Weekly Finance Digest

By subscribing you agree with Finbold T&C’s & Privacy Policy

Related posts