If you thought the recent rally was awesome, you haven't seen anything yet -- according to BofA/Merrill analyst Stephen Suttmeier.
Stephen doesn't concern himself with the fact that the United States and its trading partners are now beguiled by trillions in debt and productivity losses not seen since the early 1980s. Instead, he fashions this to be equal to the golden age of economic prosperity, last enjoyed post world war 2 -- stretching until 1971.
WE HAVE FUCKING DECADES OF GAINS AHEAD.
"We actually think the Dow will surpass 20,000 and go much, much higher than that," said Stephen Suttmeier, his firm's chief equity technical strategist. "We do believe that we are in a secular bull trend [that was] signaled on the April 2013 breakout in the S&P 500."
Suttmeier points out that much like today, rising bond yields also corresponded to a surge in equities in the 1950s. By the time bond yields moved to 5 or 6 percent in the 1960s, the S&P 500 had rallied about 460 percent over the decade or so.
"That bull run into the mid-1960s was actually an S&P secular bull trend that was associated with a low and rising interest rate environment," Suttmeier said. "That is how we're set up right here. "
In other words, Suttmeier believes that "there is at least a decade or more to run here on the S&P 500 and other U.S. equity averages."
It's the same god damned set up as the 1950s and 60s. Rates are going to skyrocket to 6%, choking out America with crazy debt servicing fees -- all the while stocks sparkle like a pack of jumping jacks on a dark and balmy July 4th night.
Here are some GDP stats for your enjoyment.
I want whatever he's smoking.
Content originally generated at iBankCoin.com
