And the stimulus isn’t helping . . . it’s just making things WORSE. In Harry Dent’s words: “This COVID thing hit early this year . . . I give that a 9- to 12-month lag before you really feel the small business and zombie companies [fail]. They don’t go down overnight . . . “We will see strong weakness in the economy by mid 2021 showing that all this stimulus is not enough to put Humpty Dumpty back together.” He believes that stocks will crash by 40% in April , essentially continuing the selloff that started in March 2020.
“Positioning is extreme, everyone is short the dollar, which means a Q2 rally and associated sell-offs in equities could be one of the big surprises for this year.”