"Closing thought: I hope we can find a way to work together" by: John Sample

We are a week past the election and much is or will change.
   Of significant importance to the equities market was the announcement this week that Pfizer has a two-part vaccine that was tested to be 90% effective, sending the equities markets soaring. 
   Other companies are on the verge of making similar announcements, making an impact of possibly allowing people to return to something that approaches normal. 
   The markets though are looking six to nine months ahead.
   We will have to make it through the winter to get to that hope of Spring and the rising numbers of Covid-19 should give everyone pause.
   I do think the concept of a shutdown may be off the table. The last shutdown took a vibrant economy and sent us to near-depression levels. We will have to be vigilant for hygiene and social distancing, but there is light at the end of the tunnel 
   What has proved interesting is the move by investors to look for value in such areas as travel and leisure. 
   Analysts tout cruise lines, movie theatres and theme parks. 
   In this market it is difficult to find value and, as I have noted previously, this theory has underperformed. 
   What has happened is that zero interest rates allowed many to essentially trade the market on margin. 
   Many have suggested that millennials are a driving force in this market. Such things happen and are likened to a daisy chain. 
   It feeds on itself and will continue until it doesn’t and crashes. 
   Some would say this is just the repeat of 2000.
   I don’t think it is the same at all. Some point to extremely high multiples. 
   We had double the current multiples in the early 70s. 
   Moreover, growth companies like Amazon, Google and Netflix has so much more growth ahead of them. 
   So, I don’t see a collapse but I certainly see many setbacks coming. 
   It is only natural and is better for the health of the market. 
   Markets move on overcoming fear. Post-election bullishness is common but it usually includes several corrections.
   I am optimistic about our ability to overcome and adapt. 
   With the election rancor behind us, hopefully we can concentrate on solving problems, progressing.
   My closing though on the election is that I hope we can find a way to work together and turn from trying to control our neighbors. This is a Republic where freedom of choice should be fostered. It promotes and sustains creativity which is the life blood of a free enterprise system. 

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