COVID and Trump, a toxic mix
Yesterday’s market action was a little warning, but with all the excess trading dollars built up over the past 40 years, it is easy to get bounces like today. By the same token, market risks are multiplying at an enormous rate.
I don’t believe the market has any idea of how volatile the actions out of the White House between now and the inauguration day will get. We haven’t seen anything yet in my opinion. Yes, Power is important to the Republicans, and losing it could be an epic event. But for Trump his biggest fear is what happens to his monetary empire, a volatile mix of assets and debt, and the possible actions of his purported Russian backers.
And then there is COVID.
Until we have 75 percent of the population vaccinated with both shots, and until we know how long the immunity lasts, we will not be out of the woods. We will probably have both answers at about the same time, probably a year from now as the vaccine procrastinators not the availability of the vaccine will be the biggest roadblock.