No. of Recommendations: 4
"I don't expect a turn in the market until Joe Kernan says "dead cat bounce" on seven days and spins widdershins in his chair"
I pulled a lot of money ( to me ) out of stocks in January and February, and even as late as
March. I'm trying to wrap my head around what will prompt me to take the money out of fixed income that matures each month, and put it back in stocks ( mostly etf's, but I dabble in individual stocks ).
Trump could come back from another of his golf long weekends, and on Monday declare that hey
all tariffs are off the table, I was just messin with y'all. And businessmen the World over
will say to themselves: I don't give a rip what that a$$hole says, he'll probably change
his mind in 24-48 hours and put tariffs back on, or hatch a scheme even dumber. So that would
not get me to reinvest ( and for businessmen to make any type of capital outlays ).
One thing that would get my attention would be Congress growing a collective pair and start
to assert the power that they have. But MAGA Congress critters have shown themselves to be
spineless Yes men and women. There is not much the Dems can do, and I'm not seeing or hearing
about any Dems mounting any type of bipartisan strategy to reel Trump in ( mot blaming them,
not much they can do besides rhetoric ). So while Congressional action would get my attention,
It would not prompt me to invest in stocks. And I'd guess that businessmen the world over would
need to see some real teeth in any Congressional actions before they'd start sinking cash into
any type of expansion or growth.
So I don't see anything until mid-terms approach that will cause people to get back into stocks.
I'm not saying there won't be rallies, dead-cat bounces, things like that. The cratering of
market values will ease, but I see no reason why they don't just stay down for an extended, unknown amount of time.
And other than seeing the numbers in their accounts shrink, Americans haven't really felt any pain yet. This is not Covid, and his bungled, ham-fisted handling of that. Americans can still do what they please. But we are going to feel these tariffs in our pocketbooks, day to day living costs are going up. Unfortunately, that is probably what a large # of Americans need to feel on a very personal level before they pull away from Trump.
