The implications are HUGE from yesterday’s stock market sell-off. If you live in or around Boston or Newport, RI, this is ground zero right now for Covid-19, thanks to everyone seeming to have the Omicron sniffles. This is the last gasp for power. You can feel the surge to lock things down, BIG TIME.
Pay attention to what I’m telling you. Because if you want to dine at the premier dining establishments, you better have your Vax card because they no longer accept just American Express. It’s “show me your papers” or “no soup for you.” And if you don’t like it. Too bad. No problem. They’ll stare you down, right out the door, thank you, with lips pursed hidden behind masks.
This is tyranny. This is what’s going on in the stock market. It is not about the Fed. It’s about the state of the country, with the thankless, jobless, quitting at record numbers, hoping the Covid gods bail them out just one last time because, hey, the teachers don’t have to teach, why should we work? Why teach or work when you get paid to do NOTHING? And that’s what you have. NO production with free money for all. What could possibly go wrong?
Even those darling top 10 stocks in the S&P 500, never mind the meme stocks that got revalued yesterday—can’t escape the scorched earth destruction of inflation. When the Fed met three weeks ago, Omicron was not the problem. It is today. Their December notes imply a more hawkish stance with the thoughts of rate increases by March. Perfect, bring ‘em on. The markets already priced them in—but things have changed in the last few weeks.
It’s a different world altogether with Omicron. And if the Fed can be turned around so easily (no way they’d be hawkish if they met this morning), why would your money be hitched up to stocks that are valued in a LOW INFLATION world? Your Survival Guy wouldn’t. Because clearly, the Fed, a political beast through and through, stoked this fire. And it’s fair to assume that’s why Biden gave Powell a second term.
Action Line: Pay attention. The Fed can’t keep printing the money AND dictating valuations. That’s exactly what markets are saying. Understand, you need to be paid to be invested in this market. It’s time for dividend religion. You need a dividend fortress. I’d love to talk with you. But only if you’re serious.
E.J. Smith - Your Survival Guy
Latest posts by E.J. Smith - Your Survival Guy (see all)
- Your Survival Guy’s Guide to Your Lazy Cash - December 9, 2022
- FEAR IN THE DARK: Terrorists Strike More U.S. Power Stations - December 9, 2022
- SEC Signals Greater Regulation of Crypto “Casinos” - December 9, 2022
- Your Survival Guy’s Christmas at Fort Wilderness - December 8, 2022
- Vanguard Does a U-Turn on Investor Activism - December 8, 2022