It will soon collapse. Too many indicators of a massive bubble about to pop. They can try to prop up the economy for a few months, but you can't dump trillions of printed money into the money supply without causing hyper-inflation, high interest rates, bursting the real estate bubble, failure of banks, losses in the bond market, etc. Bad times ahead, anywhere from April to August is when it'll blow up.
That is what I used to think. But the FED seems to have unlimited power to print unlimited money AND keep interest rates down! FED’s balance sheet is now double the size of US economy!
I seriously do not expect hyper inflation in manufactured goods because Asia can manufacture all the goods American consumer wants to buy. But things like housing & land will inflate because those cannot be imported. So long as government is spending obscene amount of money, stocks will keep inflating while FED keeps the interest rates artificially very low.
>>It will soon collapse. Too many indicators of a massive bubble about to pop.<<
I tend to agree with you. $30 Trillion national debt, $160 Trillion unfunded liabilities and the federals between a rock and a hard place with interest rates. Doesn’t look pretty.
Killing off oil/gas jobs, flooding the country with illegals (poorest of the poor), tax hikes, rising fuel prices...all spell drag on the economy and further stress on social safety nets.
Not to mention...smelling the aroma of war on the horizon. Better buckle up folks.
Hyper inflation means the stock runs continue as well as real estate. Inflation adjusted will be negative returns but obviously far better than sitting in the bank making 0.01%