You Do Know This, Right?

Stocks power higher. Bonds continue their correction. Gold bobbles up and down - but keeps its head above water.

So go the markets.

And you do know how overvalued stocks are, right? And you do know that, despite this correction, bond yields ultimately power higher, right? Oh, and you do know that gold will shake off the dust of a some combination of mild correction or slowing Bull Market, right?

Then, of course, there's inflation. Frankly, there's no obvious take here. Surely it's rate of increase is declining. But the pattern does mimic what happened from the mid-1960's to the early 1980's, i.e. up, down (more or less), ultimately "Blast off" until some Fed Chairman has a clue about what must be done to keep it under control. 

(Naturally, it's only a matter of controlling it. Killing it would kill the Fed and entire financial system. But never mind.)

So given the above, we've decided to skip - for now - our Monthly Report of assets. The detail hasn't really changed all that much.

For example, Dow Theory: The Industrials and Transports continue to diverge. Historically, that doesn't scream "Bull Market." 

Add to this: Small Caps have lagged the S&P - significantly - for months. The VALUE Index, ditto. The Shiller-Case Index continues to shine a light on an overvalued stock market.

But not matter, no one really cares. 

Then again, we could be absorbed into the Matrix of stock investing where things look as they really aren't. There's evidence that big investors are using this recent run-up to sell down their positions. There's obvious signalling by previously reliable indicators like the AAII Investor Survey shows bullish sentiment - a traditionally strong contrarian indicator.

You know what? We could go on, but it's just going to waste our lives at this point. You either believe that things are hunky-dory with the economy and the stock market, or you ally yourself with the those who smell something fishy going on.

Whichever you are, you're likely set in your ways. 

So instead of playing along with the "games people play" let's just kick up our feet and live life as reasonable folks might have lived life before the Financial Services Industry killed humanity as we once knew it. 

On this end, music and reading "The Betrothed" (perhaps the greatest Italian novel), and just finished watching "Superman" - the first Superman movie, starring the late Christopher Reeve, the first and greatest movie Superman, by far.

Which all adds up to what?

Frankly, can't really say. But it's all better than parsing the "data" related to the markets and the economy. 

At least for now.