so, the fed raised rates half a percent, and these things went up,... stocks, gold, oil, and long rates. this tells me that the market is say the fed move is not enough to do much about inflation.
if the fed move was enough to do something about inflation, then all those markets would have been down, not up.
That seems to make sense bear!
We‘re in uncharted territory with unique and challenging dynamics, so I’m not sure what to think.
Some in the interest markets were worried about 75 point increases in the furure but the fed chairman said no 75 point increases. So I guess the unknown is now known.
Its kind of like when Mike trades the weather in the grains it's the change in the maps that matters
Excellent point cutworm!
It's what happens compared to expectations!
For instance, as a general principle, if we/the market expected X+4 amount of damage from something bullish and only X+3 amount of damage occurred, X+3 amount of damage was actually bearish to market expectations and prices.
Same thing with bearish X-4 expected and the result coming up short with only X-3 and the market having a bullish reaction in a RELATIVE sense(compared to expectations)
If there were NO EXPECTATIONS for anything to happen, X-3 happening would have been clearly bearish.
Gold and silver have been getting hammered so a one day bounce is nothing and I think you are reading too much into one day.
I agree Richard.
Long bonds have broken down through a 40 year up trend line
Interest rates are going much higher long term.
I wonder if Bear's opinion of the Fed policy (being not hawkish enough to fight inflation) might have changed after watching the stock market give back all the gains and then some Thursday/Friday.
I agree with the comment that one day isn't enough to form too strong an opinion.