This is our feature of the 10 most on-narrative (i.e. interconnected, highly similar) stories in financial media. It’s not a list of best articles, or articles we think are most interesting, or articles we agree with. But if you’re going to read 5-10 stories when you start your day, these are the ones that are most connected to the financial news that got published today.
The Zeitgeist | 1.30.2019
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The Daily Zeitgeist
Markets are boring. Hey, what if we securitized wokeness?
Throwing words like “Fraud!” and “Traitor!” around so casually … it doesn’t reveal the true frauds and the true traitors.
It makes it easier for them to hide.
On Tuesday, the Macy’s narrative was “I think they can make their comps.”
On Wednesday, the Macy’s narrative was “I think they can cover their dividend.”
This is what it means for a narrative to go bad. This is what it means for a story to break.
And when a story breaks, so does the stock. Not just for a little while, but for a loooong time.
Just ask GE.
Perhaps there is an emerging and cohesive narrative around the zombiefication effects of structurally low interest rates. As much as we’d like this to be the case, we think it has yet to really register.
If Trump is reelected in 2020, I think he pushes forward a $2 TRILLION bond issuance that is fully or partially monetized by the Fed. They’ll be called Infrastructure Bonds.
If a Democrat is elected in 2020, I think she or he pushes forward a $2 TRILLION bond issuance that is fully or partially monetized by the Fed. They’ll be called Green Bonds.
We’re all MMT’ers now.
Price drives the transaction volumes of non-cash-flowing, non-productive things. Not the other way around.
There are prominent people at the intersection of Wall Street and crypto who know this to be true – who know that the “Yay, network effects!” narrative is BS when it comes to Bitcoin – but who promote the narrative anyway.
Why? Because they know that it’s narrative – even false narrative – that DOES drive the price.
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