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Politics : The Trump Presidency -- Ignore unavailable to you. Want to Upgrade?


To: Rarebird who wrote (4333)1/2/2017 5:57:02 PM
From: bentway  Read Replies (1) | Respond to of 364353
 
Sounds like a bubble prescription to me. It's great, I love to surf bubbles!



To: Rarebird who wrote (4333)1/2/2017 6:12:38 PM
From: neolib  Read Replies (1) | Respond to of 364353
 
I'd keep an eye on the VIX under Trump, and of course pay attention to Twitter.

The stock market under Trump is likely to look a bit like the inverse VIX ETFs. They look like an enticing source of easy money, but they tend to hit shocking air pockets now and again.



To: Rarebird who wrote (4333)1/2/2017 6:15:45 PM
From: koan  Respond to of 364353
 
Personally, I don't think you can use traditional economic theory with regard to Trump's presidency. Here are my reasons:

First just as Nixon, Reagan and Bush did, I expect Trump to raid the treasury with massive tax cuts for the rich and corporations, and dramatically increase defense spending which will allow him to move money from the public treasury to his plutocratic crony buddies without anybody saying anything. Both Reagan and Bush used that in spades. That is for starters. Raygun quintupled the yearly deficit over Carter (50 to 250 billion a year).

I understand that the rise in the stock market right now is because people are looking at things like trumps allowing the corporations to raid the treasury, get rid of unwanted regulations and rape the national forests and everything else in their path, but that will only last for little while in my opinion.

I believe once the world gets a real good look at Trump, he is going to scare the crap out of them. And the result of that is going to be that the world's financial community will start withdrawing their support of America, and especially their stocks, bonds and currencies.

This will start a recession, in my opinion, and then the dark money will start to falter and in the end I expect to see a full-blown depression with massive currency depreciation and massive inflation.


And to make the whole situation even worse, the minute all of this happens and people start getting on Trump about it, he will use the same out that little Bush used. He will start wars and blame it on whoever he fights. The idea being to distract people from the economy and also to stimulate the economy.

But all of these tax cuts, and increased defense spending will greatly balloon the deficit, just like under Bush and the world will tremble.

I see nothing but death and destruction for the next four years and I expected it to be beyond the pale.

<<

1) Lowering of the corporate tax rate.

2) Loosening of Regulations.

3) Massive tax cuts for the Richest Stock market players in this country

4) Strong earnings acceleration.

5) Interest rates are still extremely low.

6) Massive amounts of money coming home from Overseas (from mult-national cash cows like Apple and Cisco, etc).

7) More beneficial trade agreements.

8) Inflationary Boom.

You have to think outside the Box here.