The FREE Investment Newsletter That Really Works!
So they did it. Today we crossed over and closed over DOW 22K for the first time in history. The question is, what happens next? In today's edition of the Free Investment Newsletter, we chat about what it is that is powering this market higher, and if there's going to be a final surge higher as "people panic to get in". Well, I have my opinion about all that, so please take a minute to read today's letter and see what you think.
Think about it. Is it possible? Can this market go to DOW 50K? In today's letter we are looking at the reason that it "could" if certain criteria are met. Then of course we talk about the arguments against such a thing happening. I know it sounds absolutely insane to consider a market at 50K, but this is a different world. This isn't 1980 folks. In 2017 Central banks are buying stocks. Over in Europe, Draghi is still pumping 65 billion a month into markets. They now own 10% of ALL European corporate debt.
This is a new world. A scary world. Give it a read folks, this could be important.
Last night the API put out a report saying that there was a 3.4 million barrel build up of crude oil. Well the market has been trading a lot lately in tandem with the direction of crude. So this morning the DOW and S&P was pretty red. But then something interesting happened. Just as we were picking up steam to the downside, the DOE oil inventory number hit and they said that we had a 3.6 million barrel DRAW DOWN. So instantly oil perked up and the DOW/S&P started sprinting higher.
Well obviously one of them has to be wrong. But which one? Consider that the API numbers are privately generated while the DOE numbers come straight from Uncle Sam and you can pretty much bet, Uncle's numbers were made up for the sole reason of pushing stocks higher. It worked for a while. The S&P was down 10 points before the DOE report and was down just 1 shortly after. But it couldn't hold and we faded lower. This is what passes for a "free" market in 2016.