The bear market is for patients. Someone who can resist countless opportunities to lose money. With each bounce, investors will have the opportunity to buy higher and later sell lower.
Major US stock market indexes continue to deliver whips results. The sale is sudden. There is an incredible amount of energy in bounce. Timing can be difficult.
Dip buyers try to pile up at the meeting and trade swings. Others see what they see as discounted stock prices. The obvious trade is too good to resist.
Some investors succumbed to feelings of greed and fear, and repeatedly destroyed their capital last week before buying before the sale and then selling before the meeting. What will you do about that?
Perhaps the free fall of the stock market just after the tariffs on the day of President Trump’s release was just a bell. Maybe after Trump 90-day suspension Mutual tariffs in all countries except China will boost major stock market indexes above their all-time highs since January.
On Wednesday, Wall Street celebrated the announcement of a suspension of tariffs with a massive purchase order. The S&P 500 closed the day with a 9.52% increase. Nasdaq rose 12.16%. But the good times were short-lived. On Thursday, these indices returned 3.46% and 4.31%, respectively.
There are many risks inherent in this market. In other words, stock market valuations cannot remain in a permanent state of extreme highs. An average return is required.
Additionally, even with a 10.23% year-on-date decline, the S&P 500 still retains the price-to-return ratio of the circular adjustment. 32.55. The long-term average dates back to 1871 is 17.23. In other words, there is still a lot to be done.
Also, don’t forget that the stock market is one thing. The economy is completely different. Trump’s tariff intent is to bring manufacturing jobs back to the American coast.
This purpose cannot be achieved simply by pressing a button. That is, it cannot be filled with a quarter or a half. It can’t be filled in 1-2 years either. It would take more than a decade if Trump’s plans work at all. And what costs will it cost?
Now Trump is playing with his “off again again” and mutual tariff policies. Chaos and uncertainty are harmful to long established trade relations and supply chains. The more risk he avoids, the more he begins to unlock fire. The result is a massive trade war, massive unemployment rates and a global recession.
Perhaps this is Trump’s ultimate goal. To first burn the world economic order that existed since the early 1970s, he can reconstruct it to his liking. From Trump’s point of view, if he has to burn it and “burn it” to achieve his goal, then do so.
However, this approach is not entirely novel. The “Let It Burn” strategy is sometimes adopted in a variety of results. Let’s explore…
The work of a madman
Italian immigrant Simon Rodia was a man of determination. He worked almost every day from 1921 to 1955, pulling away steel pipes and rods and pausing just to take malt liquor swig.
A single person of his purpose, he focused his energy on putting up many towering glasses in his backyard in Los Angeles’ Watts area. No one really knows why. Maybe he found it satisfied.
One day, 34 years after this insanity, Rodia suddenly stopped. On a whim, he handed over his property to his neighbors and jumped on a bus to East Bay. No one in Watts has ever heard of him again. But his monster, Watts TowerIt is now a national historic landmark.
Strange and unique things sometimes happen in Watts. For nearly 20 years, we regularly boarded the Lametro Blue Line (now the A-line) from Long Beach to Los Angeles, crossing Watts.
On the evening of late December 2005, we happened to be on a southbound train at the exact moment, the funeral service of CRIPS CEO, community role model and children’s author. Wassy Williamsconclusion. This was a week after Tecky was executed by a fatal injection at San Quentin Prison. Governor Schwarzenegger refused the final plea for his generosity.
At the end of the four-hour service, more than 2,000 sad attendees were packed into the train with tributes delivered to more than 2,000 sad attendees, both inside and outside Bethel Ame Church, with the train packed with praise from the Rev. Jesse Jackson, Tony Robbins, Snoop Dogg and Ministers Louis Farrakhan delivering to more than 2,000 sad attendees both inside and outside Bethel Ame Church.
The gloomy atmosphere of the shadows of Watts Tower and the smell of liquor was so thick that I could cut it with a knife.
Rodia is immortal for his efforts. He is one of many faces on the cover of The Beatles. Sergeant. Pepper’s Lonely Hearts Club Band. I’ll look for A crazy madman Immediately to Bob Dylan’s left.
It’s hot to boil
Watts’ Tower is a story of devotion and unlikely preservation in a devastated realm of destruction. These buildings have valuable nuggets and an adjacent “Marco Polo’s Ship” with shells and bottle fragments embedded there.
In 1965, ten years after Rodia skipped town, a month after his death, Watts went into flames. On August 11, 1965, opening Salvos of the Watts Riot was fired. South Central Los Angeles burned to the ground for the next five days. More than 30 people have died.
Perhaps even a bit of diplomacy could have avoided a major failure. Or maybe not. Some events are like stock market panic, but not that much of a problem, when.
During the hot summer of 1965, racial tensions simmered throughout Southland. Anything Watts’ riot could have been provoked. Plus, there was an attractive craving to loot small businesses for fun and profit.
The riot was eventually triggered when officers arrested the drunk driver. The police were white. The drunk driver was black.
The arrested man’s brother-in-law wanted to drive his car home. Reasonable request. The officer told him to slap the sand. The car was locked up.
My temperament burned up. The mother of an arrested man who lived on the street found the words, “What’s going on?” She took a break Cook the rabbit To insist on her car and help her son resist arrest.
By then, hostile crowds had formed. His son resisted, hit him in the face with a baton. One thing led to something else, and his mother and stepbrother were handcuffed and placed behind a police car. Someone then claimed that police had kicked the pregnant woman. From there things escalated.
Playing cards play on fire
The riot began the following night. The arrested man’s mother sought peace. Her pleas encountered violence. The bricks were thrown. The windows were destroyed. The store was plundered. Fire has been set. Over 1,000 buildings were burned. Mostly on the ground.
There were also screams and laments. a lot.
In response, the Los Angeles Police Department, the Los Angeles County Sheriff’s Office and the California Army National Guard secured boundaries and blocked the riot zone.
No one was inside. No one came out.
The policing strategy was really simple: let it burn.
Inside the “Router Play Area,” the storm cried out a fire in the city. “Barn, baby, Barn!”
What is the point?
Burning the city is a last resort. This is a strategy that is employed when all other means and methods of restoring the order are lost. Burning the global economy should also be a last resort.
But playing cards play on fire. Rather than balancing the budget, which will greatly help reduce the trade deficit, he hits the game, burns things a bit and sniffs it. He then lights up another match and burns things a little more. At some point, the fire extends beyond what he can make in a coincidence announcement about the true society.
Many of the “router playgrounds” were destroyed during the Watts riots of 1965, but the Tower of Rodia remained unharmed. Even the most disenfranchised brick-throwing pyromaniacs knew there was something worthwhile there. Something that should be preserved for a long time.
What will remain in the economy and financial markets after Trump’s tariffs fire?
Gold, silver, long-term food storage, and other specific measures for wealth preservation last for a long period of time. Stocks, bonds and other debt-based financial assets remain in smoldering ruins.
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From the heart,
Mn Gordon
For economic prism
Return from Trump plays with the economic prism along with the fire
