12-09-2020, 01:34 PM
(12-09-2020, 01:13 PM)fenders53 Wrote:(12-09-2020, 01:02 PM)kblake Wrote: Looks like the teach bubble is finally starting to pop lol
While all you guys were buying those high flyers like CRWD, TWLO and U
I hopped in on XON, LOW, T and those beaten down names. Its paying off at least for today lol
Added a few more BAX this morning
I am about to trim T if it keeps running. It's been a good one this quarter. Income and capital gain.
I sold a put in BMY and DG. Added a few more shares of XEL and started a position in SWKS for the growthy port. Just one share. Hoping tech gets hit some soon but not holding my breath.
DASH has launched. Three hours old and over half the market CAP of MCD. SBUX is the only other restaurant stock with a higher CAP. Seems legit.
Not suggesting it's exactly the same market wide, but the gambling has now entered the zone of Tech bubble 2000. People are going to get wrecked again. It's going to be just as brutal.
Absent a change in interest rates (unlikely), I don't know that this is true. Interest rates in 2000 were way higher.
As permabear Ray Dalio has pointed out, investments compete with each other for market share (bonds, equities, real estate, gold, etc.), and treasuries are presently trading around 75x earnings. Given that, a 50x P/E norm for stocks wouldn't be outside of historical ratios. You might not like it, it might not feel right, but it would fit the traditional relationship between stocks and treasuries. I'm old enough to remember when TINA was a thing, back during the post-2008 monetary expansion. The most hated bull market in history (until maybe this one).
Also, how much of the recent run up in stock prices is tied to fundamentals vs. erosion in the value of the dollar. Just look at the charts for UUP and UDN. The Fed printing has had a noticeable impact on the value of the dollar vs. the basket of currencies it is typically priced against. Still kicking myself for closing out my UUP Puts purchased back in the March/April timeframe.