- It feels as if the 'Santa Claus Rally' has started early this year. If history is of any indication, we're due for another ~4% over the next 8 weeks.
- Nonetheless, things are getting more and more bubbly, and the combination of Tapering, higher inflation, and higher rates is anything but promising.
- More Fed members are throwing the towel on inflation being 'transitory', and Powell may do so too once earning a second-term as the Fed chair.
- As much as the rest of 2021 seems like 'easy money', we believe that 2022 is shaping up to be a hell of a lot harder.
For further details see:
An End Of Year Rally Is Likely, In Spite Of So Many Things Looking Bubbly