RealMacro

Historic Level Of Euphoria

USI:PCE   PUT / CALL RATIO - STK
While I am not one to really look at sentiment or put call ratios bc for my style they are useless.
Unless they are at extremes. Then I pay a little attention to them. What concerns me is not the
ratio but the moving quarterly average level of the ratio.

When Gov't back stops all risk to investors while running around and saying there is not bubble
keep going! Well that is a problem with natural expected outcomes such as this ratio.

Imagine going to a casino having all your losses be forgiven and all your wins are yours. This is
exactly what is happening today in markets. Gov't back stop all risk via excessive deficits, QE ,
Lending facilities to be forgiven of course, and buying up Junk bonds creating zombie companies
that will only seek to minimize debt instead of maximizing profit making the economic pie bigger
for all of us. ZOMBIE!

Euphoria is usually associated with good times. Economy is booming, unemployment is low,
wages are rising overall prosperity. So this Euphoria is a bit different than most. While many
know what is going on with Govt and FED is long term wrong, they don't seem to mind riding
the #MMT wave. (Free money for all!) Yahoo!!! It works fine till it doesn't. The doesn't part
is what will separate the men (Women Binary or whatever) for the boys. (girls, mini binary?)


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