> It appears that both gold and stock market investors believe the winner of the US election (held today) will be more money printing and debt.
That’s almost certainly true, but what happens if the fed becomes less keen to continue its accommodation?
Double-click to enlarge this US stock market daily chart.
A rectangle pattern is in play. That’s theoretically bullish, but the rectangle is formed with lower lows and lower highs. That’s a concern, and it may reflect institutional money manager worry about a lack of Fed action in 2021. The Fed’s actions over the past decade have been good for government bonds and the stock market, but they have come at a horrifying expense for Main Street.In contrast, the government’s Corona crisis handouts in 2020 have helped both Wall Street and Main Street.That’s because handouts to regular people have enabled them to […]
November 4, 2020 (updated November 4, 2020) Published by StockMan