The Financial Markets are at all-time highs going into a rate hiking cycle by the Federal reserve, that seems like a rational, logical correlation. Assets often take the escalator up, and the freight elevator down as everybody tries to exit at the same time.
It is going to be hilarious watching all these "Suckers" run for the exits, trying to hold onto some semblance of profits on these positions, because remember you haven`t made anything until you close out the position.
Earning`s season will be extra fun this year in mid January when these companies report given the current run up in stock prices for a lot of "Dog Shit" stocks. These investors need greater fools to buy these stocks from them at these prices, good luck in that endeavor.
It always amazes me how stupid and dumb financial market participants are generally, and it is no small wonder every year why most professional investors underperform. Buying stocks at the top of the market, going into a rate hiking cycle is tantamount to just begging somebody to take your money.
But hey some idiots were also buying the U.S. 10-Year Bond this year with a yield of 1.35%, and thinking this was a good idea. I heard some idiot on television yesterday talking about Dow 30,000 like it was happening next week, lots of clowns in financial markets these days. Call me a cynic but when the market gets over-priced relative to the fundamentals, I like the other side of that trade, it has proven to provide quite the edge from a performance standpoint.