The New 'New Deal'
The White House doesn't care about stock values. That shocks Wall Street. It will probably shock some of the President's donors. But he doesn't need their money and he isn't running for re-election.
Friday, April 4th, 2025
Laramie, Wyoming
By Dan Denning
There’s a saying that made the rounds last year on the Internet. ‘Nothing ever happens.’ It’s supposed to convey the idea that you can talk about big things–wars, recessions, stock market crashes–and the market just keeps going up. Well, something finally happened.
It’s the task of this week’s update to show you where key markets and prices are now after the ‘something’ happened. We’ll do it through a series of charts with some brief commentary on each. And then a final warning.
One thing to be clear on: Liberation Day was the catalyst for a revaluation in stocks that have been massively overpriced for years.
Something was going to end this bull market eventually. And if that something is a calculated gambit–a grand strategy to make a once-in-a-lifetime change to the way the world’s trade and financial system works–the adjustment will be a shock. Quite a shock.
It could also fail utterly, which I’ll get to later. The mean reversion in the indexes is exactly what we’ve been looking for since BPR set out on its own in late 2021. It’s why we’ve been in Maximum Safety Mode the whole time. There is even more at stake now. Let’s start with where the most paper wealth is still at risk.