David Stockman former budget director in the Reagan administration, on lies the Fed is telling markets and the farce of QE:
“Some people will tell you that crack cocaine is the most incredible high ever. Okay, I say, let's concede that it is. Where does that take us?”– Juggling Dynamite (2007), p. 133
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you can be bearish which is fine. But this market is going higher. Perhaps quite a bit higher
The evidence that the Fed is again behind the curve could hardly be clearer.
So at this point, the additional liquidity the Fed has decided to pump into the financial system will surely go toward continuing the Fed’s history of creating bubbles.
Picking the location of those bubbles will probably be very profitable over the next year or two. The initial betting is that they’ll be in commodities and emerging markets, and that bond prices will tumble. Other possibilities will also emerge. It’s bubble-detecting time!
Gold should be 10% of every portfolio. It is going to $1800.