Saturday, July 25, 2020

The 5 biggest forces in the financial markets

These 5 forces are logarithmically decreasing from top to bottom. 
    • Federal Reserve
    Here is the Federal reserve balance sheet from 2008. S&P500 indexed over the FED balance sheet is at 2010. So we are in a recession, we have lost a decade. The market does reflect the economy adjusted by Fed balance sheet.

    The mother of all asset bubbles is coming. 

    • US Congress
    • Big Tech (FAANGs)
    • US Dollar
    • Vanguard (Buy and hold, buy the dip investors)

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