Repeating from yesterday..
First Number – As I keep saying, there is no question that the real economy, the Main Street Economy, is still in improvement mode and will take on the eventual infrastructure buildout.
Second Number – On the other hand, the Speculative Economy, is trying to deal with the fact that it got way ahead of itself and is priced at almost double the best that the real economy will be able to produce.
So what are the bulls looking at and what could be wrong with their view..
From what I see and read, the Bull story is built around FISCAL spending and huge consumer savings of all the money flooding from Washington, along with the long running speculative theme and never tapering action out of the FED.
What could offset that theme ?
It could be inflation, but I kind of doubt that, the basic economy is too weak at this point.
More likely is will be Congress and how the Drive for Political Power far outweighs Improving things for the People. All this free money rolling out is transitory at this point and this will be a huge negative on consumer sentiment.
And, the idea totally suppressed and ignored, that Biden will successfully unravel the 2017 tax cuts.
And the really Big story, investors bailing on the BitCoin scam and the Ark investor situation.