The real issue is the market recent rise is based on people cashing in their last chips before #Trump not the hopes of Trump. So far I agree that the International market is in turmoil over him. However, there is some hope of him massively increasing the deficit against Republican fiscal conservatives and rolling back regulations and taxes on business. It is doubtful that this will counter the worsening global market and the Fed who will raise rates in response to higher inflation if Trump starts a trade war.
There are lots of hopes and expectations but also lots of trouble, the main one being the Federal Reserve's unsustainable #bubble.
Great article, Gary! Hope is that a little #inflation and reflation would cause banks to lend, but if Trump wants massive inflation and a housing #bubble he could hurt the economy and make the coming recession far worse.
"I’ve already witnessed it here in the Silicon Valley, where prices started slipping this summer" Real estate in the bay area is absurd to start with and not indicative of the US. That said, there is clearly a #bubble, but it is not caused by #Trump, but by the Federal Reserve. Sadly, the next President will have to deal with their bubble popping. The Federal Reserve's power needs to be curtailed or they should be publicly elected or both.
Check Out This Bubble
The real issue is the market recent rise is based on people cashing in their last chips before #Trump not the hopes of Trump. So far I agree that the International market is in turmoil over him. However, there is some hope of him massively increasing the deficit against Republican fiscal conservatives and rolling back regulations and taxes on business. It is doubtful that this will counter the worsening global market and the Fed who will raise rates in response to higher inflation if Trump starts a trade war.
There are lots of hopes and expectations but also lots of trouble, the main one being the Federal Reserve's unsustainable #bubble.
Over $1 Trillion In Bond Losses In Days: Second Worst Week Ever
Even the housing #bubble of the last decade could not overcome the conundrum over time.
US Market Update: Trump Towers
Great article, Gary! Hope is that a little #inflation and reflation would cause banks to lend, but if Trump wants massive inflation and a housing #bubble he could hurt the economy and make the coming recession far worse.
There’s Some Irony Here
"I’ve already witnessed it here in the Silicon Valley, where prices started slipping this summer" Real estate in the bay area is absurd to start with and not indicative of the US. That said, there is clearly a #bubble, but it is not caused by #Trump, but by the Federal Reserve. Sadly, the next President will have to deal with their bubble popping. The Federal Reserve's power needs to be curtailed or they should be publicly elected or both.