On the equity market front, it’s more of the same. Stock markets keep rising as the global and domestic economies keep sinking.
The reason for yesterday’s market boost, according to the Wall Street Journal, was because “investors [a.k.a. gamblers] cheered signs that political uncertainty may ebb following reports of President Trump’s improving health.”
As we analyze market conditions, we believe it will make no difference who wins The Presidential Reality Show®. The locking down of states, cities, and towns by politicians has caused massive economic destruction, which already has killed tens of thousands of business and ruined tens of millions of lives.
As we have been reporting, Yelp studies conclude that as of 31 August, over 30,000 retailers remained closed and an estimated 58 percent will not reopen.
On the restaurant front, their study shows that to date, 32,109 restaurants have closed down, of which 19,590 will not reopen. They also note that 6,451 bars closed down and 3,499 won’t reopen.
Thus, not only are the businesses being devastated, so, too, are all of their employees who are now unemployed and the long chain of suppliers that serviced the operations.
And, of course, this is just one segment of the financial ruination that expands the industrial, commercial, professional, and artistic landscape that has been locked down and destroyed.
TREND FORECAST: Considering the hard facts and indisputable realities of the damage caused by the political system locking down much of the nation, we find no correlation between rising equity markets and who will win the Presidential Reality Show®.
When your dead, your gone. For society, the media, and politicians to believe the tens of millions of businesses across the globe that have been destroyed as a result of the lockdown will resurrect, to us, is pure fantasy.
 Indeed, the “Greatest Depression” has begun. The economic damage inflicted upon humanity has not only crippled businesses, it has destroyed the lives of hundreds of millions of people across the globe. 
As for stocks, September was the markets’ first negative month since March. We maintain our forecast of a high likelihood stock will fall into bear territory by years’ end.
And, please be sure to read Gregory Mannarino’s article, “DEBT CRISIS 2.0: BE PREPARED” for a look inside the markets and how to protect yourself from the upcoming global meltdown.
Today, the Dow reversed a 200-point gain after President Trump tweeted: “I have instructed my representatives to stop negotiating until after the election when, immediately after I win, we will pass a major Stimulus Bill that focuses on hardworking Americans and Small Business.”
Gold and silver slumped some 2 percent after President Trump called off the stimulus talks, since prices would rise on the news that the government would inject more cheap money into the system.
TRENDPOST: It’s not over ‘til it’s over. Despite the news of no new stimulus injections into the U.S. economy prior to Election Day, we forecast that if the markets start to crash before then, a stimulus deal will be made.
And, regardless of who is elected president, we forecast more monetary methadone shots in 2021, as the nation’s economy sinks deeper into the “Greatest Depression.”
With more cheap money being pumped into the system, the dollar will continue to dive and gold and silver prices will resume their up-trend rise, hitting new highs. We maintain our forecast that gold will trade in the mid- to high $2,000 in 2021. and silver will double its current value, trading in the $60 per ounce range.

Comments are closed.

Skip to content