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My take would be they are pricing in the likely currency expansion that Trump and his ilk will perform. Last time before the pandemic the money supply increase
by diob 2y ago
My take would be they are pricing in the likely currency expansion that Trump and his ilk will perform. Last time before the pandemic the money supply increased roughly 16% over four years.
Basically they're pricing in cheap money.
I'm guessing we'll have good stocks for a while, and then probably a bailout because of god knows what this time.
And in four years your money will be worth half again, so try to double your salary and savings. Hope I'm wrong but you know what they say about planning for the worst.
- itronitron 2y agoYou seem rather optimistic actually.
- anon84873628 2y agoThen we can elect a Democrat and blame the inflation on them! It's a beautiful cycle.
- jgwil2 2y agoThe president doesn't control the money supply. Though it's possible that they're banking on Trump being able to change that, as he has threatened to do.
- bitshiftfaced 2y agoSince the two terms before oversaw a 27% and 26% increase, why would we expect that? At most, the slope is roughly the same since 2009 to 2020, so if you factor out COVID, at best they'd see it as the baseline.