A screen crawler on bubblevision this AM said it all:
Stocks on pace for the best election week in decades.
Truly, Wall Street has never been more deranged than this. After all, your lying eyes tell you that there is nothing but stormy skies ahead for one damn obvious reason: Namely, that Lockdown Nation would still be deep in negative GDP territory without the massive fiscal transfusions enacted since March. Yet—
- We will be lucky to have a government that can even agree to the time of day—once the current clusterf*ck of vote counting, miscounting, double-counting, recounting and litigating is finally finished;
- With public debt at $27 trillion and counting, further rounds of fiscal “stimulus” would positively blow-up the bond pits unless the current $3 trillion per annum flow of new deficits are 100% monetized by the Fed.
So what the sheer lunacy of the near 2000 point rise in the Dow during the week of the most viciously fought and legitimacy-challenged election in American history means, fittingly, is that it is also Fed meeting week; and that if you are a Wall Street speculator, Robin Hooder or robo-trader, and with apologies to the Beatles, all you need is love Fed.