The hollowing out of the middle class continues. Destroy small business thru forced shutdowns, lower interest rates to destroy savings accounts thru inflation, create more fiat currency to fuel money to the big businesses permitted to remain open.
I’m putting all of my money in hopium and unobtanium. The stocks of the future!
And this collective brain is telling us something. We just have to figure out what it is.
It sees the Biden election as a positive...and it is still climbing.
Given that the market is the present value of future earnings and, hence, future events, it is telling us "it" sees something very positive re: earnings.
Question: How would the market react to the absorption of the U.S. economy by China? Would it be a negative...or a positive?
I ask that question because the market, in its collective wisdom, sees that as a possibility now that China has stolen the U.S. presidency.
All that cash has to go somewhere.
Stocks are the only place that can temporarily inflate quickly.
Tech oligarchists steal all that cash in moments, and plow the surplus into stocks, and to a lesser extent housing near their offices.
That’s it.
Gyms are going out of business, but manufacturers of personal exercise equipment are booming.
For every local restaurant that has gone out of business there's another one that is making a fortune doing home deliveries to neurotic Karens and their families as they sit at home with masks surgically attached to their faces.
I was on a business webinar a couple of months ago with some people in supply chain positions in major companies. One guy had some great insight into the alcoholic beverage business. His business -- he's a major regional distributor for one of the big beer companies -- is booming. He said what COVID has done is simply change the way people drink alcohol. Instead of spending $10 on a couple of beers after work, they're spending $10 on a 12-pack of Bud Light or Coors and drinking at home. This means they're drinking a lot more beer for the same price -- which means his business can't even keep up with the deliveries to liquor stores, convenience stores, etc.
The current DJIA divisor is about 0.15198 so a DJIA of 30,000 is really only worth about 4,560.
I am not a market guru, but it’s my observation that when everyone tells me this is a great time to be in the market, it’s NOT a great time to be in the market.
Last March/April was a fantastic time to buy in, when stocks were cheap (Apple was half price!) and everyone was running for the door.
I suspect the next few months may give us an another buying opportunity, but it’s not today.
We will soon have a negative -3 or -4 interest rate. Money is a problem.
The four Western Central Banks, Japan, USA, Britain, and the EU have essentially failed.
By Summer 2021, one central bank will have to take one for Team West; I predict the European Central Bank will fail and the bailout will fall to literally propping up not the ECB but rather the National Banks in each Country - Germany, Italy, Belgium, France, Poland, etc., will have their chance at new currency or retain the bankless Euro
The US will become the second central bank to go down, simply because the DNC choose a Raw Power Grab. America is an imorale whore soon to led by the VP Harris who was literally a Call Girl and play thing for Brown.
At some point the pressure on the G7 or G9 or G19/20... you get the point - they cannot in concert continue to print similar amounts of money for their nations....
The interest rate in the USA will be 20% if the currency fails.
The USA currently has essentially a -1 interest rate at present (it is going to get worse).
the monthly 401k contributions help a lot