U.S. stocks divided by debt and inflation (red)
With Labor Participation Rate (blue):
“Nothing too bad is going to happen to the market this year,”
In other words, Generation Madoff have convinced themselves that they're going to be A-ok, it's only the children and grandchildren who will ride under the bus...
Just today, we got the latest round of asinine chicanery aka. Obama's new budget:
The White House predicts the fastest GDP "growth" in a decade. But what they don't say is that it will all be borrowed money...
"the White House sees growth of 2.6% this year and in 2017, the best back-to-back years since 2005 and 2006."
The truth is contained in this separate press release i.e. the only thing "growing" is the U.S. debt which is now non-amortizing...
"Over 10 years, deficits would average 2.5 percent of U.S. economic output, compared to about 4.0 percent in the Congressional Budget Office's estimate, which is based on current laws."
So, the truth is, the U.S. government will borrow 4% of GDP to have 2.5% "growth". AND assume there will be no recessions in the next decade, the de rigueur asinine assumption baked into every White House forecast.
But who needs the truth, when you have the casino?