Remember when stocks went down? Well good news, they don’t do that any more. They’ll rise forever on a big heap o’ public money, flowing effortlessly into the private sector as the revivifying of the economy becomes a virtuous inflationary circle. What could possibly go wrong? The FTSE 100? Now 30 per cent off recent lows and back to where it was on March 6, when the UK official coronavirus death toll was one. The S&P 500 is up 40 per cent from lows and back to a level last seen on March 4, when the United States had 11 confirmed deaths. It’s the Fed, stupid. Well, yes, of course it is. Perhaps we should turn to latest from Albert Edwards of SocGen which (by riffing off a tweet from Tom McClellan) posits deflating stock prices by money supply as a way to rationalise the rebound.
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Remember when stocks went down? Well good news, they don’t do that any more. They’ll rise...