Hi V,I know it seems odd to be making new market highs when the...

Hi V,

I know it seems odd to be making new market highs when the economy is contracting, but I think it all comes down to the absence of alternative places to invest and the rates outlook.

Bond yields have collapsed, property has gone nuts and it's now less likely than ever that rates will go up any time soon, so that rules out bank accounts, term deposits, etc. In other words, shares are back to being the only game in town. The mantra is that today's shares prices reflect the outlook six months from now when apparently all will be wine and roses. Go figure.

Sadly, fresh air is about all there is to enjoy up here in lockdown. Most of the local businesses are shuttered and the prevailing mood is gloomy as those daily tallies keep rising. Oh well.

Hope all is well with you and yours. To better times.