Nothing can apparently stop these markets from reaching all-time highs, as the S+P 500 closed at a record high. The Nasdaq and the DJIA are not far behind. The markets continue to be bombarded with deteriorating economic numbers, but simply shrug it off in the hopes of further monetary stimulus and a trade deal between the US and China. In fact, the President of the United States continues with the market manipulation comments and claimed earlier today that the trade talks are ahead of schedule. We have no idea what this means. It’s been two years and we were never given a schedule. In fact, we have been told repeatedly that the USA is in no hurry – so how can there be a schedule? Further, this Phase 1 deal is supposed to be signed in Chile next month when Presidents Trump and Xi attend an economic summit. Is this the deadline? If so, then wouldn’t it reason that ahead of schedule would suggest that the signing ceremony will take place before the economic summit now? This is a continued example of the President losing the credibility of his Office. This is shameful. And it’s all so he can claim the markets have hit all-time highs. Again, another example of this country placing higher priorities on money and profit before principle.
This week will continue to see a long list of earnings releases and economic figures being published from housing data, to Q3 GDP, to the Federal Reserve’s decision regarding interest rates. How much of this has already been priced in? As we have witnessed over the past two rate cuts, the markets subsequently sold off. Will the third time be a charm and continue to push the major indexes well into the stratosphere? Time will tell. But one thing that gives us pause is if we do witness a melt-up and/or blow-off top, the subsequent correction is likely to be a crash and it will be significant. Allow 1929 and 2000 be your guide.
On the political front, Speaker Nancy Pelosi, is calling for a vote this Thursday for the House to agree to the rules and procedures that will dictate how the impeachment inquiry is to proceed. Given the statements made by the Speaker, the next round of hearings will be made public. This is the correct course of action as the entirety of the Congress as well as the American people have a right to hear what the Trump Administration has and/or has not done. In order for this Republic to survive, her citizens must be informed. Stay diversified, stay vigilant, and stay with The Kapital News. #Recession #Economy #Justice #Stocks #Invest #Debt #Politics #Impeachment #TradeWar #Peace #Truth #EndTheFed