An Accident that Grew Out of Arrogance
The US economy is in the public crosshairs, kind of ironic as this central problem of arrogance started many years ago, when free market risk was tabled and everyone making anything got a government backstop.
How did this accident Happen?
Now you have the accident that grew out of the deep anger in the country. As we keep saying the country got the anger right, it is the solution that sucks. But maybe a real shakeup is what it will take for things to change. The last election in 2016 was a joke and the joke was purely a result of the fact both Political parties blew it. There was not a choice of a solid individual, both sides put forth a problem child. Even more challenging is that neither party has a true solid leader at the moment. Republicans are afraid to cross the vindictive Trump, and Democrats do not have a person with a plan, all they do is spout more anger.
Now we have the Three Stooges, Stevie, Pete, and Donnie, and their handler Larry, in charge.
Yes we are talking about Mnuchin, Navarro, Trump, and Kudlow. Only the handler knows what should be done, and he lives by a credo that doesn’t work, The Trickle Down story.
So this is a historical economic interlude in the long history of the US.
While the stock market is under pressure on the opening today, traders have to keep in mind that the employment numbers don’t come out until Friday and this will probably keep the bull’s hopes going until that is behind us. We are seeing the first sign that the 200 day average is being breached, the minimum measure of the 3 day average going through is valid, but until you see the 9 day average move through, you can see short term reversals.