The deep point is: the Internet is not the same as America. Every graph shows that the Internet is economically competitive. But America minus the Internet is not.
Holger Zschaepitz
Holger Zschaepitz6.8. klo 03.47
OUCH! The S&P 493 – that’s the S&P 500 excl “Magnificent 7” – is expected to deliver just 2-3% net income growth in Q2, Q3, and Q4. That’s slower than inflation, meaning most of the market is barely growing in real terms. Measured against this, US equities are quite expensive! (via Strategas)
All the green shoots, all the remaining optimism really comes from the Internet. It’s AI, robotics, drones. It’s people building things and working together and doing well. Unfortunately, much of the non-Internet US economy is not like that. Since the 2008 financial crisis, many non-Internet companies have gradually become zombies, dependent on Fed printing and state intervention both directly and indirectly.
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