By James Rickards
Here’s the good news: The stock market didn’t lose nearly as much today as it did yesterday. The Nasdaq even posted a 19-point gain.
Of course the Dow still lost another 151 points and the S&P lost another 14. The S&P slipped into bear market territory yesterday, which doesn’t bode well for the economy.
Since 1970, whenever the stock market fell 18% or more over a four-month time frame, the economy fell into recession every time. Well, that’s exactly what we’ve seen.
But after yesterday’s bloodbath, I heard a well-regarded business TV anchor ask her guest about “green shoots.”
I nearly fell out of my chair, laughing. These people never learn.