“This Bull Market is running way ahead of Mr. Biden’s efforts to stop it.“–Paul Ebeling
Economist Bruce WD Barren said in an interview Tuesday that while this current administration “is not doing anything to drive this stock market,” the table was set by former President Trump and the long-anticipated revival from the global coronavirus pandemic, and “…Trump deserves a great deal of the credit.”
We are starting to see a record number of businesses reopening. We are starting to see schools, and we are starting to see churches, and we are starting to see playgrounds, beaches, movie theaters, even cruise ships are starting to open up again.
But this growth might ultimately be hobbled by Mr. Biden’s agenda and massive spending plans, including his version of “infrastructure.”
“The economy is looking generally strong right now,” Mr. Barren said, before adding, “I have I worries, Paul: #1, I do worry about what I am calling the hangover effect from the $6.7-T of new spending that administration is calling for. There will be a day of reckoning.”
And,”#2, The expanded unemployment benefits from the recent stimulus package has incentivized unemployed workers to remain out of work.
“It’s bad for the American economy.
“The fact that we are beginning to pay people so much money to not go back to work is going to be a big problem in the months ahead, not to mention all of the marijuana smoking slackers, that is bad for the economy, and down the line the debts will have to be paid.”
And then there is this!
“The current administration’s open door at our southern border situation adding to our social welfare, drug and crime costs – all out of control. Another one of Biden’s focuses that is totally absent is a published strategy to cause a lower US Dollar in order to drive domestic employment and the flow of capital back into our country to offset our out-of-control Federal Budgetary Spending!“
Mr. Biden needs a public policy statement on our growing media and politicians’ explosion of our racial issues. But will he address these very socially sensitive issues?
Mr. Barren says, “…he is not encourage by the administration’s acts to date and his leaning to a social left government where Federal Budgetary spending is out of control.”
Does Biden and Congress really care about the over-burden to our future generations?
Mr. Barren offers this advice to the President: “Stop trying to tear down the good done from our prior President but build on their effectiveness. Remember Donald Trump and his Administration is directly responsible for the lowest unemployment and fastest recessionary recovery in the last 50-years.”
Do not forget this: “Pay attention and always take what the market gives!”.
Monday, the benchmark US stock market Bull paused to refresh finishing at: DJIA -123.04 to 34077.63, NAS Comp -137.58 to 13914.79, S&P 500 -22.21 to 4163.26
Volume: Trade on the NYSE came in at 856-M/shares exchanged.
HeffX-LTN’s overall technical analysis of the major US stock market indexes is Very Bullish in here.
- Russell 2000 +13.0% YTD
- DJIA +11.3% YTD
- S&P 500 +10.8% YTD
- NAS Comp +8.0% YTD
Looking Ahead: Investors will not receive any notable economic news Tuesday.
Have a healthy day, Keep the Faith!