NonSequitur wrote: ↑
Tue May 26, 2020 10:48 am
It’s not a bad deal for today, but demand has crashed, and better prices will be ahead, if you can hold in there.
Not sure what the future holds.
FED is pumping out money, M2 is up $3T mostly in the past two months, the production of lots of things has halted, so significant inflation seems a possibility. More money chasing fewer goods. Not 2% inflation, but 20% or more. Wall Street is doing very well just for this reason, stocks are better with inflation than bonds. Interest rates are staying low as the FED is buying bonds, including junk bond EFTs.
On the other hand, a lot of people are much poorer than they were a year ago. So demand for all but luxury goods might collapse.
Which effect is larger isn't clear. The future is going to be very interesting... and that's not a good thing.
I suggest taking the deal today might be better than waiting. But it is you, not me, rolling the dice. The deal in six months might be far better, or far worse.