Each year the third and fourth quarters are steeped in “economic recovery”. Then every first and second quarter we find out it is simply “transitory”. Yet the market believes and rallies. The only difference this year is that now there is a “permanent QE” of at least $85 billion per month.
Amazing how much market complacency a trillion dollars a year can bring.
Even in the disaster year of 2008 the markets found “balance” during the months from mid-November through the end of January as funds are being allocated and re-allocated. Because where else can you put the money?
My thesis is that the markets would endure no pullback until after Inauguration Day. Well, it is here. Who says they don’t ring a bell?If you enjoy the content at iBankCoin, please like our Facebook page