Investors Want “More, More, More” As We Head Into the New Year… Here’s What That Means for Your Money
If you’re old enough to have lived through the “disco era,” you know the song “More, More, More” by Greg Diamond and performed by Andrea True. That mega-hit was released in February 1976 and became one of the most popular and played songs in discos around the world.
And, yeah, I was there.
It’s also what investors and markets are singing and dancing to right now, particularly the lyrics: “More, more, more / How do you like it, how do you like it?”
And as former Citigroup Inc. (NYSE:C) CEO Chuck Prince told the Financial Times in July 2007, long after the disco era passed and right before the financial crisis, “As long as the music is playing, you’ve got to get up and dance.”
If you aren’t getting it, if you haven’t gotten the beat yet, just listen; it’s hard-driving and hypnotic. It’s about more, more, more.
How Do You Like It?
More stimulus, more helicopter money, more fiscal spending, more money being thrown on the dance floor, so much so investors are sliding on profits, and because we’re going to see “more, more, more,” we’re hardly done dancing.
Last week was a relatively quiet one, not for news, the pandemic, Brexit, Alibaba, or SPACs spilling over, for equity and bond markets.
The Dow rose a scant 0.1% last week, the S&P 500 fell a scant 0.2%, and the Nasdaq Composite rose 0.4%. Meanwhile, the Russell 2000 was dancing up a storm, rising 1.7% on the week.
I know I’m beginning (maybe more than beginning) to sound like a broken record, but investors are betting heavily on more of everything that’s lifted equities this year, especially off their March lows.
Even bonds have been rallying, just not the 10-year Treasury that much.
More, as in more unexpected than anything, Bitcoin’s closing in on $30,000. Though that’s not unexpected in hindsight since the “risk-on” backbeat’s been loud and clear, and all boats are rising with the tide. So why not cryptos?
What does it all mean for the future, for next year, for 2021 about to descend upon us?
It means more, more, more… enjoy it while it lasts, which might be a long time.
At least until the music stops.
Now, before we jump into the New Year, I want to share something with you that you really shouldn’t put off – today will very likely be the last time you’ll see this.
For the past few months, I’ve told you about my special Buy This, Not That presentation, which contains a list of the best and worst stocks on the market – some that could mean the difference between retiring early or working another 20-some years, and some that could implode your savings before you know what hit you.
I go through every single one of them, giving you names, tickers, everything you need to make sure you’ve got the best ones in your arsenal and the worst ones kicked out of your portfolio for good.
But I’ve noticed that you’ve yet to jump on this opportunity, so I’ve decided to make you a deal. Click here now to get the details – because I can’t guarantee that this offer will be around by tomorrow.
I’ll be back with you soon.
Happy New Year!