To The Moon

recent ppi data released yesterday came in at 0.6% twice the consensus of 0.3%. in jan, ppi came in hotter at 0.9% versus 0.6% estimate. cpi came in hotter at 3.2% vs 3.1% estimate. feb pce came in at 2.8% as expected. 

ppi - producer price index

cpi - consumer price index

pce - personal consumption expenditure

the inflation data so far suggests inflation resilience. this is making the fed hesitant to cut rates. cutting the rates too early will result in the rebounding of inflation. cutting too late will result in recession as borrowing costs are too high to sustain economic activity. 

$SPDR S&P 500 ETF Trust(SPY)$  and $HSI(HSI)$  both pulled back but from candlestick and pnf charts, uptrend is still intact. pullback is healthy for prices to normalize.

the fed is not ready to cut rates in the first half of 2024. my guess is fed will cut in the last quarter of the year. 

do apply automatic investment system where you add shares at each 10% drop or at support zones if you know technical analysis. this way you conserve your capital while the stock is strongly downtrending. do take profit at 10% intervals or at resistance zones if you know technical analysis. this way you have capital to buy the dip. only applies to stocks in an index or warren buffett would approve. bon courage.

merci beaucoup@koolgal for tagging

merci beaucoup@Asphen for sharing

merci beaucoup@TigerStars for the tiger picnic mat

merci beaucoup@TigerWire for hot topics

merci beaucoup@Daily_Discussion for the mention