1: Americans are moving south. They’re mainly moving from blue states New York State and California to red states Florida and Texas. I can only speculate why this is happening. The weather? The politics? Taxes? Affordability?
2: The current bear market is relatively mild. It is possible we’re only at the half-way mark. Despite this, the market leaders of the last bull run have each already lost close to $1 trillion in market cap!
Add in the pandemic tech darlings and meme stocks like Zoom, Peloton and Teledoc (down up to 90%) and it’s clear that a lot of wealth has already been erased. While there might be opportunity for long-term investors looking to pick up some scraps, a broader earnings recession could drag prices down further across the board.