Questions, Answers, and Getting Well Soon
Earlier this month, I wrote about silver linings. From hope springs eternal to the sage words of investing guru Howard Marks, the general refrain was stay positive, keep looking, and strive to be fully invested.
For the record, it still is.
As I sit here typing and scrolling, I’m taking silver linings to the bank. Even if that means muscling my way through a panicked, angry crowd cawing for its money back.
True to the spirit of Dare Capital, I’m all for walking the talk.
But can we safely say that the crowd’s growing bigger?
You know the feeling
Between midterm mania, indicators doing their loop de loop, a British political meltdown that just gave lowering taxes a bad name, and Senate Banking Chairman Sherrod Brown more or less calling out Jerome Powell’s Fed for ‘waiting too long and then doing too much,’ it feels like something’s gotta give.
Not saying something will…but if you feel likewise, I don’t blame you.
If we can take deep breaths and stay positive here, as the saying goes, we can probably do it anywhere.
Memes of the Day
How’s about that Punch Bowl?
All this reminds me of a fable from 1950’s Wall Street. Oddly enough, it’s the opener of the famous ‘punch bowl’ speech by William McChesney Martin, Chairman of the Federal Reserve at that time.
Starts out with an old econ professor; a campus legend known for putting the same questions on his final exam year after year.
When a smart-ass student goes ‘well how is anyone supposed to fail?’ the legend just smiles.
“Well, it’s true that the questions don’t change,” he says, “But the answers do.”
What a gem—and what a reminder that there’s no how-to-manual with all the right answers. Later on in the speech, Martin reinforces this with a warning: it’s dangerous to assume that stabilizing monetary policies (like raising or lowering interest rates) have ‘completely conquered the problem of major economic fluctuations and relegated them to ancient history.’
True that, buddy.
Whatever the Fed does, doesn’t do, or does too late, national economies made up of hundreds of millions of humans are going to fluctuate. Right along with the answers.
If giving the punch bowl back might spur on higher employment in an inflation-battered economy, maybe it’s time to do just that.
Daring to Learn
At Dare Capital, we’re always learning, even when learning hurts. That’s because the lessons, if as much the victories and relationships they bring, are well worth it.
Get well soon, economy.
Punch bowl or not, we’re not leaving the party.
Hang in there,