General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsHas it occurred to anybody that the Dow is rising because Chump broke his campaign promises.
Like a thirty percent tariff on imported goods.
samnsara
(17,622 posts)DemocratSinceBirth
(99,710 posts)democratisphere
(17,235 posts)DemocratSinceBirth
(99,710 posts)uponit7771
(90,347 posts)DemocratSinceBirth
(99,710 posts)Wouldn't that eventually hurt bonds and equities ?
uponit7771
(90,347 posts)... the degree it historically has when there's been cheap money and a lot of cash which it looks like the corporations hold.
More proof that corporations aren't putting their money back into employees like it would happen in the 50 - the 80's, they're putting money into automation and can scale up and down output on demand with ease ... screw the worker.
If you're talking about the index's (DOW, S&P, NYSE) it is very inflated relative to their financials (P&E) but still "cheap" for traders relative to getting near nothing out or US treasury yields.
Big money is either going to other countries or throwing money into stocks.
Buffet is right
https://www.cnbc.com/2017/10/03/billionaire-warren-buffett-says-stock-valuations-make-sense-with-interest-rates-where-they-are.html
Once T yields start to rise to the point they'll yield that constant 1% look for investors like Buffet to get the hell out of dodge because treasuries are way more safe than the stock market.