This follow-up blog will travel down some interesting rabbit trails; some will leave you scratching your head as to how they relate to finance or the economy. Trust me they do, and I’ll do my best to tie everything together in the end. If you haven’t read Part One, access it here: Part 1
agen∙da: an underlying often ideological plan or program
I want to continue to build on the theme over the last several blogs with regard to understanding what’s going on in the bond market in relation to the stock market. The stock market is the tuxedo wearing, glamor star who upon walking in the room causes everyone’s head to turn. It did again this week…more records on the Dow, S&P 500 and NASDAQ.
Before jumping into this article, here’s a quick timeframe quiz. When was the first iPhone released? Answer = June 2007. 10 short years ago. Amazing right? Okay, we’ll come back to this later.
Since the Presidential election we’ve been witness to how much the word market confidence comes into play with the stock market. Trumponomics has driven Wall Street belief that real growth is on the way, undergirded by an actual increase in corporate revenue. Since 2014 corporations have created higher earnings more through financial engineering than an increase in income and that formula has reached its exhaustion. Time for the cash register to start ringing.