After the Fed finishes buying their $300 billion of Treasury securities (not much longer), and either stops or slows down their purchases of agency debt and mortgage-backed securities (not sure when this will be).
When those two things happen then our economy will crumble.
Things might happen faster than that if China's economy implodes (which I completely expect).
Have you ever wondered why the trading volume on the exchanges has ramped downwards since March, while the indexes have gone up?
I wish you well if you're back into the markets, but I hope you're paying close attention to them. It can, and most likely will, fall fast when it happens.
IIRC, by October.
When those two things happen then our economy will crumble.
Why?
Have you ever wondered why the trading volume on the exchanges has ramped downwards since March, while the indexes have gone up?
More buyers than sellers?
Sure there was heavy volatility then because the market was trying to find the bottom in the wake of a crash and a socialist President being elected.
But such huge volume is not typical. And we have had far from thin volume lately especially for summer. Just yesterday we had what could be considered a higher volume day.