In his last appearance on What's Not Priced In, Greg Canavan discussed the Santa rally. Festivities have since dragged into the new year. At the start of December, Greg said this:

‘Everything is about probability. And I think the probability of the Fed or the Reserve Bank pulling off a soft landing when you’ve hiked rates so sharply is quite low. Betting on this rally to continue is a low-probability event.’

But the rally continued. Earlier this week, both the S&P 500 and our ASX 200 hit new all-time highs. What gives? And does Greg still think the rally continuing is a low-probability event? Yes. And this episode is all about why. Other topics discussed:

- Why US and ASX stocks are rallying

- Does the rally make sense?

- Investor sentiment is greedy and bullish

- Quality ASX stocks are trading at expensive forward multiples

- Why Domino’s Pizza is a warning for investors

- Struggling Aussie consumers belie ASX 200’s rally

- Boring stocks versus hype stocks

- Reading recommendations: Munger, Marks, Lynch

Stock Markets Hit Record Highs But Is a ...