SPX Where It's At

Bounced off the 200-week, which every Wall Street bank is hyping to suck in more bull suckers. It is at the underside of the trendline formed by the 2009 and 2018 lows.

I'm guessing earnings season will be overall bullish because bulls are excited to pay a premium for companies that raise prices by 10 percent, but only see sales go up 5 percent, heading into a recession. The market is a casino filled with gamblers though, and any news can spark a price surge or collapse. Economic destruction is coming to the United States because the economy is based on legal gambling at this point. People looking for inflation have it totally wrong. Whatever happens with the nominal price of things, the value is going to be eradicated. People will make $50,000 starting salary at McDonald's, average homes will be $300,000, the S&P 500 Index will be 5000 and gold $10,000 under inflation. Or shrink all the numbers for deflation. Evaporation of phantom wealth is the story. Whether it comes by inflation or deflation won't matter much in the end, and in either case, stocks are not the place to be. Commodities will lead under inflation and cash/hard money will lead in deflation.

All the headlines you're reading today on Wall Street, gamma this and squeeze that, will read like the menu on the Titanic in a few years.