So, possibly as early as this weekend a lot of folks are going to receive a very nice injection of cash into their bank accounts. While we can get into the whys and the wherefores and pontificate on need, inflation, distortion, yada yada, we'll just for now acknowledge that such government largesse to this point has been very bullish for the stock market.
In fact, if you believe the polls, a not-small percentage of what's coming to folks' bank accounts will be immediately transferred to their online trading accounts -- to buy the stuff that the now-famous ARK ETF complex is loaded up on.
Interesting, I must say, that, in light of the above, the Nasdaq 100 Index is nevertheless down a big 1.60% as I type.
Ah, but, you know, we've been preaching ad nauseum of late that tech stocks (well, ultimately, most sectors, actually) simply cannot handle higher interest rates.
So, okay, let's go ahead and touch on just a couple of distortions that come from too much government intrusion into market functions.
I.e., take a look at interest rates so far this morning:
10-year treasury yield:
"There is time to go long, time to go short and time to go fishing."