- "In a time of challenge, you find out what kind of person you are."
JFL
It also reveals things about people that you might have wondered about. The media showed an abundance last week. The pundits and shills declared the bottom in the market has passed. These people are anything but honest. You can't trust them because they are like trains. They have loco-motives. They are always bullish as is the market's tendency. There meme is "buy the dip!"
There are other reasons. If the market surges, they can get out of positions and then, leave you holding the bag. People who offer warnings are relegated to backside press or given negative labels like Dr. Gloom. There are as many reasons as people, but there is a majority that seek notoriety by making a call that will draw attention. They could even get to write a book and make a fortune off the prediction. However, these calls won't justify that level of compensation. The only real pain is by ordinary citizens fighting inflation. Neverthelss, these bulls have control of the market in the near-term. The downside price action ran out of sellers. It ran out of gas. The easiest move of less resistance is up. It should run out of juice around Dow 34,000. Dear Reader, you can bank on the market at least testing the lows of June at 29,700. The market had too much volume at that level. At that time, the down volume was twice the amount of the present up volume. With that said, consider these aspects.
Jobs Report (572,000)
It was off the charts. One reason was many women returned to work. Also, keep in mind the report that we previously mentioned, about workers taking on second jobs to make ends meet in this inflationary environment. Among the jobs created, 92,000 were second jobs. Within the number, the largest segment (384,000) were part-time labor. The media did not report in fair reporting the other side of the picture. It relegated the news to sound bytes. We don't. Our economy lost 71,000 full-time employment. Here is just a sample of firms that are laying people off or no longer hiring. The picture gets added to the dots of unemployment claims to which is now in an uptrend.
Layoffs
Amazon: (quality job) shrinks staff by 100,000. Oracle: (quality job) announced layoffs, but gave no number. Neenah Foundry: Metal works (quality job) also announced layoffs, but gave no number. Ford: (quality job) 580 7-Eleven: 880 JP Morgan: 1,000 Compass: 450 Redfin: 6% Carvana: 2,500 Coinbase: 18% Reef: 750 Robinhood: 300 Tesla: 229 Vimeo: 6% Re/Max: 17% Pelotin: 2,800 Noom: 495 Rivian: 5% Thrasio: 20% Wells Fargo: won't reveal number Cameo: 87 Pay Pal: 83 Gorillas: 300 Netflix: 150 Food 52: 20 Bitter: 4,000 Microsoft and Facebook: instituted a hiring freeze...Many more that won't reveal the number like Zulily, Latch, Click Up and Outside.
The list grows each day and for these workers, it is not a recession, but depression. There are various other aspects of things in our society that shows our standard of living continues to decline as well as the value of our dollar.
Concert ticket for $40,000? To see a fat girl sing in Vegas? That is the asking price to see and hear Adele. How about the Boss, Bruce? It will cost you 4 grand. Get Real! Woodstock only cost $18 bucks for three days and had the Who, Credence, Richie Summers, Joe Crocker, Santana and Journey in their early configeration. Jefferson Airplane, Joni Mitchell, Fleetwoom Mac, and on and on until Jimi Hendrix said goodbye.
How about this stock, AMTD? It was $10 on the 18th of July and now, $2,500 a share with very little earnings!
Can you see how the Fed has destroyed the dollar? Inflation relates to buying power and our dollar buys less. And our two political parties spend, spend and then, spend some more. Our debt is unpayable and the government is desroying free enterprise. Their share of GDP rose from 18% to now, around 30%. They are paying with debt for everything. They add more everyday like phones, internet, student debt, utility assistance, housing assistance and healthcare. Did you know that if you do not show a health care provider on your IRS tax report that you are in violation of the law? You will be fined! The government has shielded Obama Care by providing sunsidies. A day of reckening is coming.
It is great to do things for citizens, but you have to create wealth in order to share it. The rise in government in our GDP shows the loss of wealth and jobs in our private sector. It is why our cry should be the meme of the land, "End the Fed!" Peace.
