GDP down HUGE, but remember the markets are always forward looking

S

S2007S

Doesn't matter what GDP figures were....

If someone woke up today from a deep 1 year snooze and saw a gdp figure like the one today and had to take a guess where equities were trading at this very moment, they would probably have convulsions.

Economists surveyed by Refinitiv had expected a decline of 32.5%.

Even with the revision, it was still the worst contraction in the economy ever recorded. The drop in GDP was more than triple the previous all-time decline. The economy contracted at a 5% pace in the first quarter.





https://www.cnbc.com/2020/08/27/us-gdp-q2-2020-second-reading.html
 
The worse business conditions deteriorate, the more the market celebrates it, with the assumption the Fed will continue to act like drunk gamblers robbing future generations to keep sky rocketing the net worth of the richest 1%.

White collar workers are losing their jobs & not finding new ones, the worst it's been since the early 90's recession. Than there are the many zombie companies now being propped up by the Fed shoveling $ to them.

The S&P5 & NDX5 are keeping the party going - it's 1999 reloaded. What could possibly go wrong?
 
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