- We believe the already U.S. Senate passed infrastructure bill is likely to pass the House soon, and the burdensome reconciliation package ($3.5-5.5 trillion) pushed by House progressives will, in our opinion, very likely NOT pass. These outcomes should result in a significant upside market rally. We stated this in our September 20, 2021 post here: https://bit.ly/3CE6Sd5.
- Over the next two months, our firm projects a huge spike in new jobs – due to the now ended extended federal unemployment payment. When horrible national policies are implemented that actually pay folks more to stay home than to work, our nation’s economy suffers. Now, most of the same folks who were paid to stay home, are over two weeks removed from their last federal government unemployment payment and are pressed to return to work! Larger than expected job growth numbers are likely to provide a large movement in your asset values! WE ORIGINALLY STATED THIS IN OUR SEPTEMBER 3, 2021, POST here: https://bit.ly/3zBlbNu.
- We believe our country has ALREADY ENTERED a likely decades-long period of higher inflation pressures. But – higher inflation, WHICH IS EXTREMELY DESTRUCTIVE TO BOND INVESTORS, should actually result in HIGHER INFLATION-ADJUSTED EARNINGS for equity investors! In other words, higher inflation can, and should, push your stock values upwards. We stated this in our September 10, 2021, post here: https://bit.ly/3zD7bTD.
- Due to higher government spending, leading to increased long-term interest rates, our (overweighted) cyclical stock portfolio should reflect significantly higher prices. Our single most overweighted sector, banks, should experience exceptionally high returns! We stated this in our October 28, 2020 video here: https://youtu.be/OaMTiXRRInI.
We believe the contribution of all these factors will result in a significant market rally, and are likely to move our portfolios strongly for a very significant time period! Onward and upward!
Full listing of all disclosures (bit.ly/3lGX3mM)