The Most Anticipated Move in Central Bank History?
GUALFIN, Argentina – Stocks have been wiggly-waggling along for the last few days.
Just like the tail on a happy dog.
Investors don’t know what to do…
And everyone is on the edge of his seat in anticipation of whether the Fed will raise interest rates at its policy meeting this week.
This must be the most anticipated move by a central bank in all history.
All Eyes on the Fed
And so is what friend and economist Richard Duncan calls “excess liquidity.” (More on what that means for asset prices here.)
Even if you believe the official statistics, this recovery has been the weakest since the end of World War II.
Sooner or later, the bull market that began in March 2009 has to end.
“Trees do not grow to the sky,” say the old-timers.
Nope. There are limits to everything. And surely, there is a limit to the prices investors will pay for stocks.
In this go-round, we suspect we have already passed it.
Reprinted with permission from Bonner & Partners.
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