The markets have been slowly edging upwards over the last couple of weeks despite the proposed higher capital gains tax rates. The GDP is currently growing at a 6.4% pace, which is the highest I remember and quite a robust number. This is of course to be expected with all the stimulus and the Fed’s easy money policies.
Fed chairman Powell spoke this week continuing to reassure us about low rates and showed a distinct lack of worry about the digital currency market at least as it pertains to monetary policy. The scarcity that we have been seeing seems to be increasing and that is driving prices of most goods and labor higher. This is supposed to be transitory and prices should settle down again within a year, although I doubt they will fall to previous levels.
We continue to be optimistic about the stock market with the strong economic data and the multiple Government backstops.
For more of our thoughts on these and other topics, check out our video above.
