It Never Happened

There seems to be a certain degree of nihilism to equity markets these days, as all of the events and economic data in recent months has been eschewed in favor of trying to price in the promise of better days ahead. A nonstop bid in the overnight futures market is playing out again today, with small caps in the IWM and some mega caps in the Dow picking up the slack even as various tech names lag.

Still, the surge in ZM up 6% as I write this after a flattish reaction to earnings drives home the point that this market remains wholly uninterested in bearish evidence, arguments, etc.. 

Perhaps Target, below on its daily chart updated, perfectly illustrates this point. Various locations were looted and suffered destruction over the last week, yet the stock simply just based out and is attempting to break higher as we speak. TGT did not need to crash, of course. But some semblance of the market trying to price in the reality of slowing foot traffic en masse has been rendered irrelevant by the market, at least for now. That will change, of course. As markets invariably do. But for now, nothing ever happened. 

In the meantime, I am still looking for the food/meal delivery theme to persist, be it GRUB or possibly name like CHEF. Grocery stores like IMKTA SFM are worth a look, too. 

And USCR, as one of our Members noted, is having a fine morning. A few months back, I thought any large infrastructure Bill would not pass Congress before the Election this November. 

But with widespread riots and looting in major American cities across the land, anything is possible and USCR stands to likely benefit from a huge infra Bill.