While GDP remains negative, the retraction was less in Q2 than Q1 which means production is getting a little better. Less than 1% essentially means we are treading water and not drowning. As I said in another post, I believe we meet technical definition of a recession, I believe it's mild and, barring more reckless government spending, we should be back to 0 or positive growth in Q3. I'm a little more optimistic than I was about equity markets, though there will actually be some competition for investment money from bond markets for the first time in a long time.
You have a pretty good instinct. I enjoy your posts and learn from your perspective.
‘Very, very true about the bond market. Fixed income is attractive for the first time in, well, forever. I guess a real brief time in early 2019, but… Anyway, another headwind for equities is the strong dollar.