Why Investors Are Ignoring the Bad News

Markets are climbing even as consumers feel worse about the economy, oil prices remain volatile, and higher interest rates continue to pressure stocks, bonds, and households.Mike Armstrong and Marc Fandetti break down why the stock market keeps pushing higher despite historically weak consumer sentiment and ongoing uncertainty around Iran, oil prices, and inflation. They also discuss whether consumer surveys still reflect reality, why the risk premium for holding stocks over bonds is disappearing, and how strong corporate earnings may be distorted by the rising value of private AI investments rather than traditional business growth.The show also looks at the challenge facing new Fed Chair Kevin Warsh, why inflation and deficits leave policymakers with little room for error, and how Massachusetts’ millionaire tax continues to generate more revenue than expected despite concerns about high earners leaving the state.