I have similar thoughts to you regarding the markets.
All logic to me says that markets should correct, however my belief is that people don't really want that yet.
Trump for me is the ultimate catalyst here to prevent a major correction & possibly start a great Bull market.... I say that for the following reasons:
- You don't amass a $3.8bil empire without understanding how markets work.
- He is a marketing, media & persuasion genius. He has been running reality TV shows with ratings pertaining to massive groups of people for years, so has massive insight into mass marketing through that system & used that system to best one of the most powerful families in the history of US politics IMO.
- He has opted for no pay as president; my belief is that he understands his play here is to increase his wealth through his massive exposure to the US economy & he has again bet on himself.
- He has spent his life negotiating & will use those skills for the betterment of the US economy & he knows he's in the drivers seat when negotiating with other countries.
Most importantly, the longer he is in power, the longer he can take advantage of his position & leverage his returns.
Given this fact; there is no way he doesn't do everything in his power to get results to ensure a 2nd term.
I believe there is still scope for leverage in the economy & until all means of increasing money supply have been exhausted, the bull run will continue. I also believe he will use a shake up method to instil confidence that has been missing for a number of years; which may take the pressure off the use of leverage, especially if business confidence turns around in a big way.
There is a lot riding on his first few months in office as he has promised a lot, but he knows if he can deliver there is MASSIVE upside. He has a history of delivering IMO.
Certainly would appreciate others views, but these are my initial thoughts.
Back in Australia, some of the Small Cap brokers had one of their best years ever last year.
IPO's had a stellar year & are back in favour for now......
I very much look forward to 2017, it could be a massive year.... Good luck to all
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