Is it fantasy or is it fact?
I say we find out next week when the banks report.
The banks have the ability to determine much of what's real and what's phony, more than any other group. We bought some JP Morgan (JPM) yesterday for a chance to average down on the best bank judging that we would be safe taking some in 50 points from its high. We didn't expect that it would jump four points ahead of the first real Covid quarter.
We will find out how much when the banks report, namely that the consumer and the small and medium-sized businesses are in real trouble.
The only oddity here is that, once again, it may not matter to what is going up in the market, no more than it mattered in 1999. Further, a bad set of numbers form the banks may just push more money toward the Cramer Covid-19 index.
One thing is for certain. Just like in 1999 there is no longer any justification for a huge part of this market's move. What I think will be most interesting is if, say, the fintechs take a hit or do they go even higher if the banks are frightening in their loan losses and inspire a wave of fear about the dividends and the Fed.
Random musings: If you don't like your mask please give me some ideas of what you would want. I don't like, for example, how hot they are and how they make my ears look like taxi cab doors when they are open! Go on twitter to tell me! Thank you.