Below is a chart and brief excerpt from today's Early Look written by Hedgeye CEO Keith McCullough.
Obviously there are no numbers in headlines that some people are sometimes forced to chase, and… President Pump’s got the former bull market’s back on that:
“Stock market up BIG, DOW crosses 25,000” -Timestamped Trump Tweet, 5/26/2020
Yep, going ALL CAPS on us poor bears (and Treasury Bond market bulls) as Treasuries do absolutely nothing on all the gloriously bullish headline news. Nice, big man. #BeanDeal, nice.
With at least 80% of the “gains” in the last few weeks happening in the pre-market, what could possibly go wrong, from here?
A) The Economic Cycle
Yep, I know. If you ignore the two biggest reasons for my going bullish on “stocks” in 2009, 2012, and 2016, you can really just buy stocks (and ignore the signals from the bond market) all of the time, if both the Fed and Pump’s got your back…
Problem with that strategy is that you don’t get them to bail you out until after A & B happen, again.