🚨 Something incredibly strange is happening!
The S&P 500 hits a new record high every day!
But look at what’s underneath it:
Total U.S. stock market value: $81.6 trillion!
U.S. GDP: $32.6 trillion!
The stock market is now 2.5 times the size of the entire U.S. economy!
The math just doesn’t add up:
Why is the stock market getting fatter while the economy beneath it gets weaker?!
Almost nobody is connecting the dots!
The S&P 500 is weighted by market cap!
The biggest companies make up the largest share of the index!
So every dollar flowing into passive S&P 500 funds gets funneled into the handful of giants that already dominate the market!
And the biggest winners always soak up the biggest share of new liquidity!
Meanwhile:
Credit card debt just hit a record $1.18 trillion!
The 90-day serious delinquency rate has surged to 10.9%!
A 13-year high!
Subprime auto loan delinquencies have topped 7.8%, higher than the peak of the 2008 financial crisis!
The personal savings rate has collapsed to 3.4%!
U.S. banks are sitting on more than $510 billion in unrealized losses!
The number of people continuing to claim unemployment benefits keeps rising, while full-time jobs are steadily being replaced by part-time gig work!
Yet the stock market keeps breaking records every day!
Now here’s where the math gets crazy:
The top 10 companies alone are worth nearly $30 trillion!
A 10% pullback in those 10 stocks would wipe out about $3 trillion!
That’s roughly 9% of a year’s U.S. GDP!
The other 490 companies don’t have to do a thing!
Read that again!
The S&P 500 hits a new record high every day!
But look at what’s underneath it:
Total U.S. stock market value: $81.6 trillion!
U.S. GDP: $32.6 trillion!
The stock market is now 2.5 times the size of the entire U.S. economy!
The math just doesn’t add up:
Why is the stock market getting fatter while the economy beneath it gets weaker?!
Almost nobody is connecting the dots!
The S&P 500 is weighted by market cap!
The biggest companies make up the largest share of the index!
So every dollar flowing into passive S&P 500 funds gets funneled into the handful of giants that already dominate the market!
And the biggest winners always soak up the biggest share of new liquidity!
Meanwhile:
Credit card debt just hit a record $1.18 trillion!
The 90-day serious delinquency rate has surged to 10.9%!
A 13-year high!
Subprime auto loan delinquencies have topped 7.8%, higher than the peak of the 2008 financial crisis!
The personal savings rate has collapsed to 3.4%!
U.S. banks are sitting on more than $510 billion in unrealized losses!
The number of people continuing to claim unemployment benefits keeps rising, while full-time jobs are steadily being replaced by part-time gig work!
Yet the stock market keeps breaking records every day!
Now here’s where the math gets crazy:
The top 10 companies alone are worth nearly $30 trillion!
A 10% pullback in those 10 stocks would wipe out about $3 trillion!
That’s roughly 9% of a year’s U.S. GDP!
The other 490 companies don’t have to do a thing!
Read that again!