What Did You Buy Today?

[Otter]

I remember a lot of people discussing how we needed a valuation reset in late 2019, because everything was so ridiculously overvalued. We got one. The supply of dollars went up immensely, lowering the value of dollars, so the market repriced at a higher figure in dollars, despite unemployment briefly topping 20% and the economy closing.

All else being equal, just based off of what the Fed did last year, the S&P 500 should be at about 6,000 just to match where we were in December, 2019.