What Pandemic? NASDAQ Only 3% off the February All-Time Highs

in LeoFinance •  2 months ago 

The US stock market is one crazy place and the Tech sector is at the forefront of it all. The current state of society during COVID-19 has turned into an economic boon for parts of the tech sector, and boy does it show in stock prices.

However, an economy that has lost 30+ million jobs and was at a standstill for roughly two months cannot be good for an overall market. Well, atleast that is what logic would tell you.

We are not in that place right now though. Amazon, Netflix and other tech companies are racking in the profits right now and it is pushing the Nasdaq ever higher.

Below is a chart of the Nasdaq 100 (the largest 100 companies in the Nasdaq) and as you can see we got a V shaped recovery in this indices.

Price is just off 3% from the all time highs made 3 months ago.

Let this all sink in for a minute. After everything that has happened, the tech-centric Nasadaq is only down only 3% from the all time highs.

I can't help but think there is a great disconnect going on with the markets and reality right now.

Be careful the coming months with the stock market.

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It can also be an indikator of that People are expecting a big inflation.
Stock is the best oportunity in that case.


Also the money from the FED printer has to go somewhere.

Most of it is still sitting in the banks reserve fund. The Fed deposits there with the intention of lending but the banks sit on it and earn interest.

They arent going to lend in this environment so they just a fraction of a percent for doing nothing.

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For now, I think there is.

Going into 2021, there will be a different story being told. At some point, we are going to see a lack of confidence in government which will start to push a lot of money out of bonds. That will likely end up, for the most part, in equities.

In the meantime, the market will have to realize how little confidence the consumer has. With the job situation so touchy, people are not going to be spending a lot of money.

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Someday we’re going to have to wake up and see reality. The powers at be are trying to make that day as far off in the future as possible but to me it feels like that day is right around the corner. I’m going to BTC, gold, silver and even cash as I wait for reality to set in and bring along some cheap buys on my favorite stock picks

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an economy that has lost 30+ million jobs and was at a standstill for roughly two months

Just read that again and let it actually sink in.

The divide between the rich and everyone else just gets wider and wider.

At least the bottom feeders can watch Netty on their iPhone to numb the pain of not being able to pay for groceries.


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Ain't that that truth. Mindlessly watching netty on their phones going through the trance of life.

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