The S&P 493: The Real Story Behind the Missing 7

The S&P 500 Ain't the Real Story; It's the S&P 493 That's Screaming

So, the markets are "up." Big deal. The S&P 500 and the Dow are inching along like they're stuck in molasses. But let's be real, that headline is a straight-up lie. It's like saying your family is doing great because your rich uncle just won the lottery, while everyone else is eating ramen.

The "K-Shaped Recovery" is a Joke

This "K-shaped economy" they keep talking about? It's not an economy; it's a freakin' Hunger Games. The wealthy are swimming in champagne wishes and caviar dreams, while the rest of us are just trying to keep the lights on. And what's fueling this party for the elite? The "wealth effect" from soaring stock prices of AI companies. Give me a break.

They're saying this "wealth effect" is responsible for almost half a percent of real GDP growth, and a quarter of the economy's overall growth. Translation: A handful of tech bros are getting richer than Croesus, and that's supposed to trickle down to us? Yeah, right. I'll believe it when pigs fly...offcourse, maybe they will, considering the amount of BS we're being fed.

The Magnificent Seven vs. the S&P 493: A Tale of Two Economies

Here's the real kicker: earnings expectations. Since earlier this year, they've gone up for the "Magnificent Seven" – Apple, Amazon, Google, Meta, Microsoft, Nvidia, and Tesla. We're talking about a roughly 4% jump. Meanwhile, for the other 493 companies in the S&P 500, they've dropped by about 1.5%.

That's not a market correction; that's a two-tiered system. The S&P 500? More like the S&P Seven, propped up by hype and AI snake oil. What about the S&P 493 index? Nobody cares. It's the ignored majority, the companies actually making and selling real stuff, and they're getting screwed.

Is there an S&P 493 ETF? Probably. Will anyone invest in it? Doubtful. The lemmings will keep chasing the shiny objects.

The VIX volatility index is down, you say? Well, isn't that special? The rich can sleep soundly knowing their AI stocks are still printing money, while the rest of us are one missed paycheck away from living in a cardboard box. Maybe I'm just being cynical, but this feels like a house of cards waiting to collapse.

Global Markets: More of the Same Garbage

Oh, and the global markets are up too? Germany’s DAX, France’s CAC 40, Spain’s IBEX 35, the FTSE 100, Japan’s Nikkei 225, Hong Kong’s HSI, China’s CSI 300, South Korea’s KOSPI, India’s NIFTY 50... it's all one big, interconnected web of financial shenanigans. Bitcoin's at $106K? Who even understands that anymore? It's like magic beans for tech billionaires.

So, What's the Real Story?

The whole damn system is rigged. The S&P 500 is a misleading indicator, masking the struggles of the vast majority of companies. The "K-shaped recovery" is a lie. And the "wealth effect" is just another way of saying "screw the poor." I'm starting to think the whole thing is a Ponzi scheme, and we're all just waiting for it to unravel.