'I'm so bearish, I'm bullish': BofA says liquidity drives stocks higher - Business Insider

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'I'm so bearish, I'm bullish': BofA says 'maximum liquidity' will push stocks to new all-time highs, but a COVID-19 vaccine will mark the 'big top'

With state tax revenues down 30-50% for many states, municipal shortfalls could be greater than $1 trillion in a worse-case scenario.The US federal budget deficit will be at 25% if the next fiscal stimulus bill in response to the COVID-19 pandemic is greater than $1 trillion, which would be the highest since the World War II peak of 27.5%.

A big top in 2020 is likely at the time of a successful vaccine, which will lead to "full capitulation by bears, [and] higher interest rates," the note said.

 

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What they're not us CNBC 'With state tax revenues down 30-50% for many states, municipal shortfalls could be greater than $1 trillion in a worse-case scenario'. The US Government has a poor track record in assisting Municipal recoveries. COVID19 will devastate small cities.

GiacomoPallaro

Hi Peter!

WTF does that mean?

Buy the rumor and sell the news?

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