More Danger, More Opportunity and...the COVID Mess Comeback

After our last post regarding divergences - and the warnings they carry - we received the most recent issue of one of our "Brain Trust." He included a good dollop of discussion of divergences in the stock market - many of which we had previously noted - and agreed with our interpretation of them.

To refresh, when we reference our "Brain Trust" we're speaking of intelligent, objective, and reliable sources of insight into markets and the economy that we have cultivated over many years. For the most part, we pay for their services. We don't follow them slavishly but we take their analysis and recommendations very seriously.

The bottom line: The stock market deserves the sort of attention you'd give to a hurricane that's predicted to land in your neck of the woods. Living on the East Coast, we've heard this tune before. If there are necessary or sensible preparations, you get on it now. You don't wait. But you also know that hurricanes notoriously veer left or right from their anticipated path. They may hit with full impact (no veering) or lesser impact (veering) or no impact (complete miss). 

With that said, a complete miss in current circumstances is pushed to the bottom of the list. We're looking at either a direct impact (strong correction of worse) or something lesser. If lesser - for example something south of a crash or 20%+ correction, we 're expecting something of note. At this point, we've taken our precautions. We wait.

Meanwhile, the S&P and the Dow headed up this week - naturally. But the divergences remain. It's the stock market playing its usual games with us. 

On the flip side, gold was the asset that behaved badly, even as stocks put on their best Sunday suit. The gold price dropped below 1765 a fall of $42 on Friday. We say "flip side" because it's the opposite - we think - of what's up with stocks. Rather than a sign of danger, it's the market trying to throw off greatest number of riders before the bull rises up again. If that's correct, then we're looking at opportunity as opposed to danger.

While money matters, what happens in markets is being eclipsed by the feverish, obsessive drive by the powers that be to get everyone jabbed with still-experimental treatments aka COVID "vaccines." As part of that effort, restrictions and lock downs have begun again. Even those who have received "safe and effective" shots are being urged to wear masks and keep their distance. In our fair city, proof of being jabbed will be required to access some public venues (e.g., indoor dining, some entertainment venues, to start). 

It's starting to look like the Mess that descended on us over a year ago is making a return. We called it the "C-Virus Mess" then. No reason to change the name now. The C-Virus Mess may be back sooner than we realize. I hope not.

While I'm not a doctor or a scientist, I've got a vested interest in how all this unfolds. So do you. And so it behooves us all to cut through the blizzard of information and so-called "misinformation" that comes at us daily, from all directions. Blind acceptance and wholesale rejection based on politics, religions, feelings (the least reliable source of truth), or any other prejudicial influence won't help you. Yes, it's not easy to sort through it all, but, really, give it shot. Get to the point where you're not just one of the herd.

Being part of the herd generally results in bad results when it comes to investing. The same will hold here.

So with that in mind, here's a stab at scraping away the crust propaganda and other manipulative shenanigans. You may not agree with it. If not, I'd like to know what you don't agree with.

I didn't make this up. I read it in the course of my efforts to find the truth and it struck me as simply true. I pass it on to you for your evaluation.

VAXED PEOPLE

CAN STILL GET COVID

CAN STILL SPREAD COVID

CAN STILL DIE FROM COVID

CAN POTENTIALLY DIE FROM THE VACCINE

 

UNVAXED PEOPLE

CAN STILL GET COVID

CAN STILL SPREAD COVID

CAN STILL DIE FROM COVID

CANNOT DIE FROM THE VACCINE 

Enough for now. We're entering times that will try men's souls. Treat it like an advancing hurricane. Pay close attention. Make prudent preparations for what's coming, even if we're not sure exactly what that might be.