This is why S&P stocks are rising. Consumers will still need to buy, but the pandemic will drive massive consolidation to large firms that can weather the financial strain.
Apparently, if you separate the 5 biggest tech companies (Apple, Microsoft, Google, Facebook, Amazon) the rest of S&P 495 is down about 11 percent Year-to-Date [1].
Yeah no kidding. Was completely oblivious to this. Although I knew Amazon and Apple's stock had shot into the stratosphere somehow (Amazon I totally get, Apple not so much)
1. it's post-covid revenues weren't significantly impacted
2. it's a blue chip stock in an era where safe securities like bonds yield nothing (there's no where else to put money)
3. fund managers don't want to miss out on the up-swing momentum, however irrational it may be
S&P is rising because the fed won’t let the market fail. We will let everything else in this country turn to shit, but the fed will prop up the market no matter what.
The US stock market has become essentially a Ponzi scheme at best, and an outright scam at worst.
