It's been exactly a year since investors woke up to the possibility that COVID19 could disrupt the "rocket ship" economy most believed we were experiencing. Investors saw little chance for anything to interrupt it. Readers of this blog and investors with SEM would have known the economy was artificially juiced
Over the past week, the consensus has been built that the US economy is about to embark on a historic boom. The parallel many are using is the Post World War II boom where the government had a "blank check" to rebuild the country's economy. Treasury Secretary Janet Yellen was
Whether when investing or just life in general there are all kinds of things that can go wrong. We can often reduce the damage of those risks, but not all the time. However, it's usually the things we cannot see that hurt us the most.
With most of the country
Most of the country is experiencing the coldest temperatures of the winter, which is fitting given the current state of the economy.
The market is ignoring the current data and focusing on the months ahead. They are fully pricing in a tremendous recovery based on three things:
What has been will be again,
what has been done will be done again;
there is nothing new under the sun. - Ecclesiastes 1:9 (NIV)
"The market can remain irrational longer than you can remain solvent." - John Maynard Keynes
Tulip bulbs, South Sea Company, railroads, Japan, tech stocks,