Worries about a resurgence in coronavirus cases and lingering disappointment that central banks merely affirmed their monetary support last week, without promising new stimulus kept investors wary.
This is a very typical sentiment that we're seeing today across all financial media outlets and I suspect we will continue to see this for the next several weeks—things like resurgence in coronavirus cases and disappointment in central banks are the kinds of things that mainstream media would like to have dominate the financial headlines.
These may not appear to be political statements on the surface but, in fact, they are. It has become more and more difficult to get any picture of what’s real from the financial media.
There are a lot of things going on in the markets, and there are a lot of reasons why markets continue their volatility, but concerns about vaccines, coronavirus cases, and disappointment in central banks are not driving our current markets.
Vaccines are getting closer and closer to becoming a reality, treatments are getting better and better, cases are dropping, and the death rate continues to indicate a lower and lower risk.
Now those things, in fact, are likely to have an impact on markets in the sense that they are creating more optimism.
We continue to see economic data outperform and, frankly, it is amazing what we are seeing—more and more people getting back to work, fewer and fewer people being laid off, more people buying homes, productivity levels continue to be at respectable levels, retail sales numbers continue to remain strong, and some of the recent numbers have been the highest we have seen in 13 years.
The markets have been extremely volatile—both to the upside and the downside—and, yes, overvalued and somewhat irrational. Yet, in a time when media is trying desperately to scare everybody (including Wall Street), that has not happened.
I agree that some of the highs, and the volatility on the upside, have been irrational—with an economy that is not fully activated yet. But every time we see things like single-digit unemployment rates again, the enthusiasm about the market will continue.
Most traders and Wall Street analysts understand that, on November 4, no one will be hearing anything about the coronavirus and, hopefully, Trump will be looking at another four years of pro-business, pro-growth, pro-jobs, pro-private sector, pro-military, pro-law enforcement and anti-taxes and regulatory burden—and let's not forget pro America.
We the People hold the key to saving America from going to a place from which we will never return; we just need to show up at the voting booth.
It is far easier to do that than to try to figure out how to navigate through a new Socialist regime.
Dan Celia is president and CEO of Financial Issues Stewardship Ministries, Inc., and host of the nationally syndicated radio and television program “Financial Issues,” heard daily on more than 660 stations across the country and reaching millions of households on several TV networks, including FISM-TV.
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