Major Economic Expansion on deck…… via /r/economy


Major Economic Expansion on deck……

I think we are entering the second stage of an expansion. The beginning of every major expansion stage is never obvious, but they share characteristics.

On the surface their is great uncertainty with new administrations, geopolitical noise and yrs. of good markets. It's been 8 yrs. of recovery and many expect a correction. I heard the same thing in 94-95 that. 'Rally over extended, Middle East uncertainty' etc., Fed will have to raise rates… So it looked like the time to be conservative in 94-95…

The reality was that Iraq war # 1 was yesterday's news then like (ISIS, Iran today) ….corporate tax cuts and a pro growth fed policy (same today) wasn't going to change and second stage expansions is when M&A heats up resulting in higher multiples and less public equity which means higher prices.

Submitted March 14, 2017 at 05:33AM by loudbounce
via reddit https://www.reddit.com/r/economy/comments/5zb669/major_economic_expansion_on_deck/?utm_source=ifttt

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