The government is shut down, there are wars in the Ukraine and Gaza, Trump sounds like his brain is turning to mush and I still can't get my basement leak fixed, but, the Stock Market continues to soar. So much so that I'm beginning to wonder if we're not sitting on a big bubble.
There are other reasons for concern. PE ratios are above 30, inflation hit 3% last month and Trump's tariffs are still hurting international trade. But the market seems to not care that much. We've seen the occasional correction but since the first shock of the tariffs, the markets have gained like it's 1929.
Today the Dow closed at 47,544, the Nasdaq at 26,637 and the S&P 500 at 6,875. My personal portfolio is at a record $2,044,043. It's almost too good to be true, and it may be.
We've seen 1,000 points shifts already this year as Trump, or someone feeding him the dialogue, appears to be playing the market like a fiddle.
Negotiations with China sound upbeat at the moment. Sometime this week talks should break down, Trump should threaten 200% tariffs and the market will divebomb 1,200 points. That will be right after the in crowd sells at record highs.
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