It was a strange session yesterday that saw the market bolt higher on glimmers of hope that maybe there could be more household relief in a relief package that was heavy on help; it just seemed to forget about helping the nation’s most needy folks. Folks that were gainfully employed and want to work but have been ordered to stay at home.
The billions going to build museums and fund the wealthiest organizations that are frequented by the wealthiest folks is kind of despicable under the current circumstances. Even more egregious are the enormous sums being sent aboard while millions face an eviction cliff.
And do not give me that junk that one bill is the budget and the other Covid-19 relief, so they should not be conflated. The reason they are conflated is lawmakers saw a chance to sneak in funding for all their pet projects using the cover of Americans pain and suffering.
Money is fungible, especially American taxpayer money, and its time it was used to help people during the biggest financial challenge in almost a century. The V-shape bounce has been remarkable, but there are too many folks left out. It’s a shame that lawmakers are able to destroy industries and stop willing owners, workers and patrons from doing business.
GOP House members are on a call today at 3PM. Let’s see if they can find way to up household payments to $1,200 per person.
By the way, this is a pox on both political houses. Its not just about the woefully low amount of money being sent to households, its also about the excessive spending sent overseas and inside the nation that attempt to make up for the largesse of reckless state and local government spending and policies.
I wrote this yesterday. The current emergency Covid-19 relief act tallies at $286 billion. Where is the rest of $900.0 billion bill going? The Congressional bill is almost $500.0 billion less than the Cares Act. To be true, the situation is less dire in general, but also worse for millions.
Message of Market
It was an odd session that saw traditional havens and the new havens (Technology) sell off, as investors continue to new opportunities.
S&P 500 Index
Communication Services XLC
Consumer Discretionary XLY
Consumer Staples XLP
Health Care XLV
Real Estate XLRE
Maslow Needs Hierarchy
The spike in TSA checkpoint travel tells me American activity will move from behind the laptop at home and into the streets faster than the so-called herd immunity happens. I think this will be great for the economy and even soothe that intangible inside us that seeks individual freedom. I’m sure its embedded somewhere in Maslow’s hierarchy of needs.
To see the chart, click here.
There were no changes in the Hotline Model Portfolio yesterday.
Its going to be a quiet day with the market closing early.
I personally want to wish everyone a Merry Christmas – this year has taught us what the day is really all about.