Hi folks!
Enough said already - just stay out:
- S&P500 has just once been more expensive in terms of most metrics (Schiller PE, P/S, Relative to Money supply etc.)
- Real interests (inflation - treasury yields) have NEVER been as negative as they are now - contributing to huge inequality in society
=> Fed will have to act, and most likely a lot faster than the market suspects - Remember that real interest rates are actually lower now than before Volcker bumped interests to 10%!
The only potential upside to this market lies in even more speculation, and that is not a place you want to be imo.
As I am a trader and do not have the patience to stay away, I just trade the VIX these days, but I do not recommend this
(unless you know how it is calculated and you have a reasonable risk management strategy).
DYOR.
NFA.
I Wish you all well :)
Enough said already - just stay out:
- S&P500 has just once been more expensive in terms of most metrics (Schiller PE, P/S, Relative to Money supply etc.)
- Real interests (inflation - treasury yields) have NEVER been as negative as they are now - contributing to huge inequality in society
=> Fed will have to act, and most likely a lot faster than the market suspects - Remember that real interest rates are actually lower now than before Volcker bumped interests to 10%!
The only potential upside to this market lies in even more speculation, and that is not a place you want to be imo.
As I am a trader and do not have the patience to stay away, I just trade the VIX these days, but I do not recommend this
(unless you know how it is calculated and you have a reasonable risk management strategy).
DYOR.
NFA.
I Wish you all well :)
