Not sure why we are at all time highs. The Mag 7 and AI stocks tend to be doing really well. The rest of the economy is so-so.
Stock valuations right now are elevated compared to historical norms.
Inflation, while much lower than the Democratic presidency, is still at 3%. Could be a contributor to asset values being elevated as one of the best places to hide during inflation are equities.
I also think the “fed put” has something to do with it. The last couple of times the market has crashed or corrected severely, the fed has stepped
In to bail out the market. People expect that asset prices are supported but the government and thus the risk to stocks is lower. (Theoretically)
AI is going to be a game changer, lots of disruption and growth in the future.
all of these things and more contribute to a stock market trading at levels elevated from historical norms. Personally I think it has more room to run.
Whether you agree with what Trump is doing or not, from a macro view of America First, that probably means his policies are designed to increase the wealth of our country and that will be reflected in the stock market and our economy.
I am an All In Trump and MAGA guy however there are concerns from me about the stubborn inflation, huge rise in cost of living, etc
A lot of the stubborn inflation can be attributed to the time lag of changing inertia . Policies and forces put into effect 2 years ago have to be flushed out the economy before the new policies I agree with start to impact the day to day life of Americans
Most people look at a policy and say its not working after a week when the old policies are still affecting for example the economy.
On the crime in America it has been exasperated by the huge Biden open borders where now we have state liberal insurrectional folks who don’t want to follow US passed laws but want to have laws for themselves without regard to Federal Laws.
It will again take years to flush the criminals out of America . Then theres the cartels and China. Again such as ignoring South America has to addressed and flush out criminals and China will take years.
Then theres the supply chain issue. Again it will take years to flush and correct the problems.
I 100% believe Trump and the Maga policies are spot on long term.
The real hoot is the complaining about building a ballroom. Dam people we are the US the most powerful nation in the world has to set ip tents in the mud and have state events in the rain and mud.
I love the idea to build a BIG BEAUTIFUL BALLROOM
OK I had my say and hopefully we can eliminate this huge runup and have some price deflation on living expenses for the short term.
Otherwise I see a Truly Golden Age for Americans