Dow is up nearly 1000 points in 4 days!!! You would have to be a fool not to sell here. One more day like today and I'm adding lotssss of shorts....
It's articles like this that make absolutely no sense...before the election Trump was nothing but bad for wallstreet, now every single article I'm reading from Wednesday on is showing only positive spins on Trump and how he's good for wallstreet and stocks, a complete Fu$king joke of a circus media..... Donald Trump's win looks like good news for Wall Street — and bank stocks are flying high Portia CroweNovember 10, 2016 (Stuart C. Wilson / Stringer / Getty Images) US bank stocks are climbing for a second straight day Thursday following president-elect Donald Trump's electoral win. Bank of America, Citigroup, Goldman Sachs, JPMorgan, Morgan Stanley, and Wells Fargo were all in the green by 4.5% to 8% as of 2:45 pm ET Thursday. One major reason for the jump appears to be because Trump is expected to reduce regulation hampering bank profitability. His win could also lead to increased inflation pressures, indicating that the Federal Reserve could begin increasing its rate of interest rate hikes. Trading desks could also benefit from increased market volatility. There are, of course, some risks for the financial industry on the horizon, as KBW's Frederick Cannon and Brian Gardner highlighted in a recent note. Those include a US retrenchment from the global economy and trade agreements. Regional banks could perform better than the universal banks in the long-term because of the larger banks' international exposure. Citigroup, Bank of America, and JPMorgan, for example, have larger international lending portfolios and could be hurt by isolationism, the analysts wrote. Citigroup in particular is at risk from its large exposure to Mexico and other emerging markets, wrote KBW's Brian Kleinhanzl, noting that Citi generates 40% of its revenue from emerging markets. But, as the analysts point out, the near-term benefits appear clearer and more immediate than the risks. Reduced regulation? On the regulatory front, the market appears to be pricing in the fact that Trump's administration will introduce laxer rules. Trump has said he would "dismantle" the Dodd-Frank Wall Street Reform Act, for example, and "massively" cut back on other regulation. He has mentioned that he disagrees with breaking up the big banks, according to Barclays' Jason Goldberg. This would be good news for banks. That said, neither KBW's nor Barclay's analysts believe the Dodd-Frank Act will ultimately be repealed. Barclays' Goldberg also does not believe that the Consumer Financial Protection Bureau will be dismantled, as has also been suggested. The analysts over at Fitch wrote in a note Thursday that the elimination of the CFPB would be "unlikely to have a material impact for banks in the aggregate," noting that there has been little talk of repealing the Volcker Rule, specifically. Economic growth? For Goldberg, the main reason Trump's win could be a boon for the banks is if he has a positive impact on GDP growth. "While it's unclear the ultimate impact the new administration will have on GDP growth, it bears watching closely," Goldberg wrote. "Factors that could influence growth either way include increased infrastructure spending, reduced taxes, a potentially larger federal deficit, possibly higher interest rates/inflation and reduced global trade." And from Fitch: "Generally, US financial institutions' performance tends to be correlated with the overall US macroeconomic environment, particularly as it relates to economic growth. Judging by the campaign, the new administration's economic policy is likely to revolve around tax cuts, renegotiating trade agreements, de-regulation and higher infrastructure spending." Of course there's a big "if" here. As Fitch's analysts wrote, "it remains to be seen the degree to which Trump will implement or be able to carry out his policy initiatives and the long-term effect policy changes will have on growth."
Look man...just 4 short months ago we got a glimpse into this exact same form of diversion..Brexit would be "the apocalypse". the market would "crash", etc, etc...Did you not notice the Brexit analog in the days leading up to the election OR the analog that same night? I won't clue you into the cycles as most people will just disregard them outright.
I believe this to be a relief rally after the election being done...maybe all that talk about stocks falling 10%+ is coming a bit later after they realize the true cost to Trump's new policies.... Any way by the time it happens it will probably be just a blip and the Dow will still be trading with an 18 handle on it after the 10% drop meaning the Dow will be at 20k+
30 year mortgage just jumped a 1/4 of a percent in 2 days.....ha...thats pretty significant if you didn't lock in your rate and shopping for one of those $775k houses http://www.cnbc.com/2016/11/10/a-trump-market-reaction-just-made-housing-more-expensive.html
I love that picture. Three babes drinking champagne out of the bottle and the dude in the cool hat holding a fat wallet. I gotta get me one of those hats.