And today, Americans think the stock market will return 17% long-term…(face palm).
TSP & Vanguard Smart Investor Posts
“…no adequate rational market explanation for this performance.”
Fear the Central Banks.
This is not a factor in TSP investing or other index funds, but it tells us a lot about our money system and how markets can be controlled to a point. And more important, how many narratives are controlled too.
What I learned today is that when we hear the word “socialism” from conservatives, it is as much against decentralized shared democracy as it is about spending and definitely not about shared ownership.
The financial sphere is not driven by inflation, but “inflation expectations”. The Fed will say whatever it takes to attempt to manage expectations, but the market may not listen. Higher inflation pushes interest rates higher, higher interest rates will bring down stocks… and bubbles do not work in reverse. This is the risk of 2021.
A quick discussion on the TSP Funds today. A little more than the basics.
The war on socialism’s impact on TSP funds.
Everyone is prepared for unchecked monetary and fiscal stimulus as far as the eye can see. But is existing market structure sustainable in a backdrop of unrelenting non-productive debt growth, rising inflation, waning central bank flexibility and shifting political priorities?