...there is nothing coherent nor any process in this entire tariff sham, it is as based on whims of the President, so if you have a market that whipsaws up and down based on what he says, which can one thing (we will eventually lower tariffs on China) one day to another (we won't back down on 145pc tariffs on China) another day, all you get is spinning heads and constant blindsiding.
...which makes short positions only good intraday or for one day, and which makes long positions close out quickly for quick gains, so what you have is gambling with enhanced volatility, as everybody is in no state to trust any outcomes, good or bad. You have a deal being dangled, people buy into it, then its no big deal and people sell it. But these people don't think about the ramifications ahead of what all these uncertainties do to economy and markets.
...so its kind of true that it has become uninvestable. Its like investing in company with a CEO who is all over the place, one month telling you they're going one way, the next changes his mind, sending mixed messages and a PR mess. As Forest Gump says, its like a box of chocolates, you never know what you're going to get.
...so for most people, who listen to the mantra of ignoring the noise, they just do nothing, and let the market sort itself out. People will do nothing, because they see the markets recovering and tuning out to the President's rhetorics. They don't see a market becoming disconnected to the new realities which has yet to fully dawn on them due to denial and hope and belief. And yes, if you have a massive number of retail market participants with 'cult-like' belief in their President no matter what, buying into every dip, you get resilience for longer than what most smart money anticipates. And that is the real world of dissonance we now live in.
