Even though this market feels incredibly “stuck” and under-the-thumb of the Fed, I have faith in the gargantuan cycles of price history, Powell be damned. Here below are two important equity indexes over a period if decades, each divided by the M2 money supply, thus providing a more realistic picture of values and trends.

Russell 2000 small caps

Dow Transportation

Small Caps (IWM) divided by bonds (TLT)

The great hope……….gold! Divided by M2.