What I’m Doing With My Money 

On July 24, I said I was putting a good amount of my stock into cash until I have an idea of what the election will bring us. On November 4, I made some predictions about what will happen regardless of who wins.

Now, with Biden 99% secured as president and the Senate and Supreme Court in relatively conservative hands, I don’t see any major regulations or tax hikes on the near horizon. But I do see (as I said) continued trillions of fake dollars issuing from Washington at rates much like we’ve been seeing.

That means more money into the stock market and the resultant upward pressure.

The stock market is already responding to that and to some other good news regarding the economy. As my colleague Alex Green reported last Friday:

* The US economy grew at a galloping 33.1% rate in the third quarter.

* An accompanying report revealed that new jobless claims declined by 40,000 in one week, to the lowest level since March 14, when the economic lockdown was about to begin.

* The economy has already recovered about half of the 22 million jobs lost in March and April.

* Consumer spending – 70% of all economic activity – rose an astonishing 40.7% in the third quarter.

* Much of this consumption was on big-ticket items like new homes, furniture, cars, home exercise equipment, and other durable goods. (Consumers don’t make major purchases unless they feel optimistic about their income and job security.)

* The personal savings rate was a healthy 15.8%, indicating that there’s still plenty of consumer spending capacity.

* And all of this happened without another federal stimulus package.

So I’m putting back half of the money I pulled out of the market immediately, and then gradually putting the rest back over the next several months – just to be safe.