There Are NO Trigger Events On the Horizon So Will Stocks Crash?

In order for a market to crash, there needs to be a TRIGGER. It could be a bank failure. Could be chaos in a city. Could be in a new invasion of a country. Could be a “Black Swan” event (A term everyone knows but never read the very detailed book). Regardless, we are here, simply waiting for an event. In the meantime, stocks can go higher. Absolutely. Pension funds can pretend to be rock solid. Your 401k can still give you the illusion of financial security. But when the day comes, everything will change. The higher up this goes, the more painful the events will be. But until a TRIGGER happens, it’s really just a fantasy tale of never-ending wonderfulness. They all lived happily ever after. The end.

First we must acknowledge what most seem to ignore: The economy is not the stock market. Sometimes they can be correlated. For example, a stock drops significantly, company goes out of business, people get laid off, they can’t buy stuff, it drags the economy down. But in general, since 2008, we have seen markets artificially supported in a way that we have never seen in history. Can this ever be reversed?

 

Central bank balance sheet 3.29.jpg (538×353)

www.zerohedge.com/s3/files/inline-images/Central%20bank%20balance%20sheet%203.29.jpg?itok=RwEarnju

Central Bank Assets for Euro Area (11-19 Countries) | FRED | St. Louis Fed

fred.stlouisfed.org/series/ECBASSETS

United Kingdom Central Bank Balance Sheet | 2019 | Data | Chart | Calendar

tradingeconomics.com/united-kingdom/central-bank-balance-sheet

Not in Labor Force | FRED | St. Louis Fed

fred.stlouisfed.org/series/LNS15000000

What is unemployment? | FRED Blog

fredblog.stlouisfed.org/2017/03/what-is-unemployment/?utm_source=series_page&utm_medium=related_content&utm_term=related_resources&utm_campaign=fredblog

What is unemployment? | FRED Blog

fredblog.stlouisfed.org/2017/03/what-is-unemployment/?utm_source=series_page&utm_medium=related_content&utm_term=related_resources&utm_campaign=fredblog

Japan’s March factory output decline flags risk of GDP contraction – Reuters

www.reuters.com/article/us-japan-economy-output/japans-march-factory-output-declines-rise-in-inventories-raises-concerns-idUSKCN1S203B?il=0

U.S.-China talks to resume with significant issues unresolved – BNN Bloomberg

www.bnnbloomberg.ca/u-s-china-talks-to-resume-with-significant-issues-unresolved-1.1250582

vol.jpg (1000×700)

i2.wp.com/northmantrader.com/wp-content/uploads/2019/04/vol.jpg?ssl=1

final-sales.png (569×398)

i1.wp.com/northmantrader.com/wp-content/uploads/2019/04/final-sales.png?ssl=1

trade.jpg (1200×710)

i1.wp.com/northmantrader.com/wp-content/uploads/2019/04/trade.jpg?ssl=1

 

342 views