By Alex Moschina, Total Wealth Research, 2024-06-15
As Shah foretold on Monday…
It was another banner week for stocks, with the S&P and Nasdaq both hovering near all-time highs.
The Fed's promise – well, the closest thing to a promise the Fed will ever offer – that rates will start to come down before year's end was music to investors' ears.
A stronger-than-expected CPI report added fuel to the fire.
Year to date, the two leading indices are each up by double digits.
The Dow, for its part, is only slightly down from the all-time high it hit back in May.
But that's not all!
Outside of equities, gold is up more than 10%…
Bitcoin (BTC) has jumped close to 50%…
Even the 10-year Treasury yield is up 11%…
Clearly, it's a great time to be an investor.
Can't choose between stocks, bonds, crypto or hard assets? No problem. Just close your eyes and point.
… We're kidding, of course.
In truth, this rare phenomenon where everything keeps going up – from blue chip stocks to safe havens like gold – has some troubling undercurrents.
Markets are now divorced from economic reality. They have been for years.
And as Shah pointed out in yesterday's Total Wealth essay, central banks like the Fed have no interest in propping up a true free market anyway.
Manipulating rates is a far more entertaining – and lucrative – pastime.
The good news is…
Knowing this presents a HUGE opportunity for traders.
It's why, week-in and week-out, we publish ideas to help readers make sense – and money – out of these wild times.
The post What Does It Mean When EVERYTHING is UP? appeared first on Total Wealth Research.
