Good Monday morning. After the close on Friday Moodys downgraded US debt, meaning that the US has now lost its AAA credit rating from each of the three major rating services. Does this matter? First, this was not a surprise as Moodys telegraphed this move months ago. In the short to medium term, it matters little. 

Futures are lower by approximately 1%, but a short-lived pause is the only impact we should see. Yes, our markets have hit extreme OB levels…a slight shakeout here would help to resolve that…but what we believe is most important is that there is a magnet on the market dragging it to new ATH’s...then higher still. 

We continue to think that the best analogy for this market is the plandemic bear market of 2020. After the March lows were in, we had a V-shaped bottom. As Tyler covered on his Friday podcast, not only did we go to new ATH’s, but far beyond, with additional sharp gains into year end. For example, once the March lows were in, Nasdaq proceeded to rally 79% into...