, Salem, MA


January 8, 2014

A brightening outlook for 2014, local experts say


The stock market rally is, for the most part, under-appreciated, something Caruso said is also a good thing.

“If everyone was euphoric, I’m out,” he said.

Negatives in the economy for 2014 include the continued political mess in Washington, Europe and emerging markets that are “still stuck in the mud,” and “needless to say, the Fed just started their tapering (on the stimulus program).”

Long term, it appears the numbers on the charts are moving in the right direction. Stocks could do about as half as well as they did this year, which translates to 10 percent to 15 percent returns, Caruso said, and “we expect you to do nothing with bonds,” as higher interest rates will make them less attractive.

That said, Caruso said opportunities in 2014 may be investments in international and emerging markets, or small company stocks.

With people starting to spend again, consumer businesses that depend on discretionary spending — such as the local shopping malls — may do well. With that increased spending, industrial companies that make the basics — such as General Electric, DuPont and 3M — should also do well in 2014. Technology should also continue to do well, but for the average investor, social media companies like Facebook or Twitter may be too speculative to invest in.

Finally, Caruso said, financial and health care sectors should also continue to perform well in 2014 — sectors that are well-represented on the North Shore.


Staff writer Ethan Forman can be reached at 978-338-2673, by email at or on Twitter at @DanverSalemNews.

Text Only | Photo Reprints

AP Video
AP Review: Amazon Fire Adds Spark to Smartphones All Aboard! LIRR Strike Averted Microsoft to Cut Up to 18,000 Jobs Time Warner Rejects Murdoch's Takeover Bid Yellen Says Economy Still Needs Fed Support Cleveland Expects Economic Boom From Lebron Justice Dept. Fines Citigroup $7 Billion Justice Dept. Fines Citigroup $7 Billion Downside of Low Mortgage Rates? Less Selling Cupcake Shop Crumbs Shuttering All Its Stores San Francisco Prepares for Soda Battle Dow Breaks Record 17,000 GM Crash Compensation Could Top $1 Billion GM Won't Limit Crash Compensation Funds Justices Rule for Broadcasters in Aereo Fight
NDN Video
Justin Bieber In Calvin Klein Underwear Shoot Samsung Pre-Trolls The IPhone 6 With New Ad Jimmy Kimmel Introduces His Baby Girl Swim Daily, Nina Agdal in the Cook Islands Guilty Dog Apologizes to Baby for Stealing Her Toy Prince George Turns 1 and is Already a Trendsetter Train Collides With Semi Truck Carrying Lighter Fluid Kanye West Tells-All on Wedding in "GQ" Interview Tony Dungy Weighs in on Michael Sam Scarlett Johansson Set To Marry In August New Star Wars Episode XII X-Wing Revealed Obama: Putin must push separatists to aid MH17 probe Michigan inmates no longer allowed to wear orange due to 'OITNB' Adam Levine Ties the Knot Sebastian The Ibis Walks Beautiful Bride Down The Aisle | ACC Must See Moment NASA Ceremony Honors Moon Walker Neil Armstrong Faces of Souls Lost in Malaysian Plane Crash 105-year-old woman throws first pitch Man Creates Spreadsheet of Wife's Reasons for Turning Down Sex 'Weird Al' Is Wowed by Album's Success
Comments Trcker