The market has continued to be positive as stimulus hopes continue. New unemployment claims came in at a 5 month high, reinforcing the argument for stimulus. Additionally, the core CPI for December came in at 0.1%, showing that all the printing so far has not created rampant inflation. This gives the Government more leeway to add more money to the pot. Day traders continue to have a strong impact on the market, and we expect that to continue for at least a few months as people will still be staying home far more than they ordinarily would.
Once people start going back to work and play, we expect that the day trading will falter somewhat and we will see a resurgence of the less sexy stocks, generally with good dividends. We hope to be positioned well to take advantage of that and expect to see that around mid-year as the virus counts dwindle.
For more of our thoughts on these and other topics, check out our video below.
