With The Dow just one good day away from the nirvana of 20,000 - proving once and for all that the fiction-peddling naysayers are wrong about the US economy - Barron's unleashes its magazine cover curse to do all it can to end the party.
Another cover, another curse, or maybe Barron's has been right all along...
As we noted previosuly, the Trumplosion has been driven by just three stocks - Goldman Sachs, UnitedHealth Group, and Caterpillar - which together account for about 40% of the advance...
All of which looks 'normal'
And as more and more of the squid's alumni are drawn into Trump's cabinet, charts like these will make more and more sense
Although the most recent move is eerily similar to the 1995 to 1999 rip that ended so well for Pets.com and their breathren:
Of course all of this is rational buying at record high multiples based on increased economic expectations in a new Trumplandia normal... oh wait.
We leave it to none other than Jeremy Siegel to sum up his 'told you so moment' of euphoria:
“Right now, there is Goldilocks,” he said, referring to an economy that is strong enough for Federal Reserve officials to raise rates at their meeting in the coming week and at least a few more times next year while inflation remains tame.
What’s more, he said, stocks will respond well to the prospect of more-favorable corporate taxes and less regulation—a pair of factors he expects will push stocks higher, despite their record highs and slightly higher rates on the horizon.
“I think the Trump rally has a way to run,” Mr. Siegel said.
“There’s no bubble today. There hasn’t been for years.”
“What is being priced in is optimism about Trumponomics,” said Ian Lyngen of BMO Capital Markets. “It’s frankly impossible to value [markets] in light of the fact we don’t know what his policies will ultimately be.”
"No Brainer" really.