The general election scenario that Democrats are dreading

[ProfessorGAC]

22. Easy To Rebut

A bounce from a plunge caused by the same person taking credit for the bounce?
The economy was doing ok, not very good.
22% of growth above inflation was predicated on the delta of the deficit caused by the tax cuts.
We borrowed money to somewhat overstimulate an economy that was already cruising nicely.
Then over the last 5 years, far too many firms saw rises in D/E 6 - 10% relative.
Cheap money and added leverage allowed buy backs that inflated the indices and caused weak cash positions that were unable to sustain when cash flow from operations was extrinsically impacted.
The plunge to sub 19,000 was CV19. The overdue correction of the 12% annualized equity growth shows equilibrium between 23,500-26,000. About where it's been floating for a few weeks.
The economic fundamentals on the consumption side was not showing the same annualized rate of growth as real GDP. At the same time, GS rose at > delta GDP.
Lastly, recording short term bounces in economic condition is a hyper political endeavor.
Econometricians do not keep track of dead cat bounces. They acknowledge them as true for a day and move on.
They represent no actual shift in economic condition other than catch up spending.
And, given the huge UE numbers and bills being deferred, discretionary cash will not develop for carryout nsiderably more than 4 or 5 months. Many households are already 3 months behind.