Thursday, December 8, 2016

"Donald Trump:'We're In A Big, Fat, Ugly Bubble'"

Remember all the things that used to spook the markets and scare investors into dumping stocks?

Things like political and social unrest, struggling Italian banks and increased instability in Europe--now barely have investors batting an eye. Brexit, Trump and the Italian Prime Minister step-down have all failed to rattle the markets.

Michael Block, Chief Strategist at Rhino Trading Partners, quipped Monday that "everything is a buying opportunity and you need to not miss the boat."

"Heck, all we need is a coup d' etat in India and the entire Belgian banking system to go Kablooey and the S&P 500 will be at 3,000 by Christmas Eve," he joked.

You've got to admit it is a little freaky when the markets react by pushing higher on each new political shock wave. It's just not normal.

Block is worried--and he's not the only one. Some believe what is being dubbed "The Trump Rally" may be turning into a bubble.

"Donald Trump has made the stock market great again," writes Sue Chang of Market Watch. "But that frothiness is prompting warnings that the market is getting too bubbly, setting up investors for a disappointment in coming weeks."

Even Donald Trump says we're "in a big, fat, ugly bubble" and sold all his stocks in June.

Sherlock Holmes would call that a clue.

A wise man once said: "Do not value money for any more nor any less than its worth; it is a good servant but a bad master." -- Alexandre Dumas
"Let not your heart be troubled; you believe in God, believe also in Me. In My Father's house are many mansions; if it were not so, I would have told you. I go and prepare a place for you, I will come again and receive you to Myself; that where I am, there you may be also. And where I go you know, and the way you know...I am the way, the truth, and the life. No one comes to the Father except through Me" -- John 14: 1-4, 6.

  • CNBC: Stocks trade at record highs after European Central Bank's decision to keep interest rates unchanged.
  • Hawaii News Now: Tsunami watch issued after 7.7 magnitude quake strikes near Solomon Islands; 6.5 hits off Calif. coast Thursday.
  • Fox News Channel: Trump Tower advertising Secret Service protection as amenity for tenants. 

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