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September 4, 2020 | ‘This Time Is Different’

Danielle Park

Portfolio Manager and President of Venable Park Investment Counsel (www.venablepark.com) Ms Park is a financial analyst, attorney, finance author and regular guest on North American media. She is also the author of the best-selling myth-busting book "Juggling Dynamite: An insider's wisdom on money management, markets and wealth that lasts," and a popular daily financial blog: www.jugglingdynamite.com

The number of U.S. permanent job losses (inverted scale below in green) versus the S&P 500 price (in grey) since 1994, throws some cold water on S&P 500 bulls today.

And more broadly, so does this look at global equity prices as a ratio of sales for the companies in the basket (below since 1980), today near the 2000 bubble top.

And lastly, for all those who like to say that the stock market is not the economy and so stocks can hold up when the economy tanks, here we offer US Industrial production (in green) compared with the price of the S&P 500 index (in blue) since 1996. Yes, I know, ‘this time is different’.

 

Link to Danielle’s podcast:  Well Paying Jobs Now Seeing Layoffs

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September 4th, 2020

Posted In: Juggling Dynamite

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