Perfect Storm
It wouldn't be a stretch to say that things "fell apart" on Monday for US markets. "Perfect storm" comes to mind, even as tech managed to claw back losses.
Although election jitters were rampant prior to Ruth Bader Ginsburg’s death, her passing opens the door to a fearsome partisan battle -- and so much more. As Alexandria Ocasio-Cortez made clear in remarks delivered in Brooklyn Sunday, an epoch-making election became immeasurably more existential on Friday evening, assuming the existential
Kudlow strikes again! What a putz.
People are definitely getting the impression that the Administration, and about 1/3 of the states, have “thrown in the towel” on COVID19 and are solely betting on the arrival of a vaccine to get us back to whatever ‘normal’ is. The interim period will be one of substandard economic performance plus many more unnecessary deaths. And, of course, disease survivors with heart and lung damage.
Ginsberg -> political fight -> less chance of stimulus. Azar -> FDA politicized -> less acceptance of vaccine. Trump -> crazy -> more chance of election crisis. Plus Sept & Oct -> seasonally bad for stocks. And maybe RH’er have learned about puts.
That said, if election doesn’t end in a existential crisis for USA , and vaccines are credibly approved, we could see a heck of a year end rally.