Global Dow Index Hits All-time Highs

JC Parets
November 30, 2020

I'm not sure if you've heard, but stocks as an asset class are in a strong uptrend.

As we mentioned on Saturday, more and more stocks, sectors, and countries are making new highs, not fewer of them.

The most telling chart I came across this weekend has to be The Global Dow Index breaking out of a multi-year base to new all-time highs:

Risk around the world peaked in January of 2018. It's taken almost 3 years for demand to be able to absorb all of this overhead supply.

Our bet has been that 3 years is long enough and we're now ready to begin a new cyclical bull market. I think we're still in the early innings of that bull cycle.

Just think about this, almost 20% of The Global Dow is made up of Financials. In the U.S., Financials are still below their 2007 highs.

What bubble?

We've barely even gotten going. It's still very early.

Let me know what you think.

JC

 

 

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