Judging by the way 2014 is drawing to a close, such projectiles will be in abundance. As we go to press there is half a trading day left in 2014, but fresh concerns over the eurozone means Santa's December rally is likely to prove a somewhat miserly affair - the last trading week of the year has been flat, which means the FTSE 100 is set to end the month lower than where it started. That said, nimble traders would have been able to bank a chunky 7 per cent gain after the mid-month sell-off, and Father Christmas has been rather kinder to the US, where the S&P touched a new high this week.
It is rekindled fears over the prospect of economic catastrophe in Greece that are preventing European markets from making similar headway. The Hellenic Republic's latest troubles stem from its failure to elect a head of state, meaning the dissolution of its current government and new elections in January. It is feared this could open the door for the anti-austerity Syriza party to gain a majority and unilaterally write off Greece's large debts. The ECB has its work cut out to prevent a serious crisis spreading - and judging by its foot-dragging over stimulus in 2014 I would not bet on it being entirely successful.
If there is anything to learn from this as we head into a new year, it is firstly that deep economic problems are not easily solved, and certainly not by handouts - structural reform is key, but much harder to achieve, as Prime Minister Abe is also finding in Japan. Secondly, where those economic troubles have a populist political element they are not likely to be easily brushed under the carpet – and, with today's politics and markets so intertwined, those troubles can quickly alter the mood of the market.
But before we in the UK get on our high horse we should be mindful that we have potential political troubles of our own to contend with in the year ahead in the form of a general election. The rise of Ukip and the collapse of Labour in Scotland make it a hard contest to call, and among the fund managers we spoke to for our year-end review it was frequently cited as a troublesome uncertainty for the year ahead. We at the IC are mindful of such risks, too, and will no doubt assess the short-term implications such events will bring. Generally, though, we try to think in much longer timeframes, and view short-term wobbles as great opportunities to buy shares in the quality companies we favour. On that basis, 2015 is likely to be a year of opportunity.
