Markets reaching a tipping point
Thursday saw an encouraging session for the general markets. $DJIA(.DJI)$, $NASDAQ(.IXIC)$and $S&P 500(.SPX)$each posted respectable gains and the Nasdaq led the markets which was not surprising being the one most sesensitive to rate movements.
Now that everyone has accepted that inflationis here to stay and that rising rates are inevitable until it is brought under control, the narrative has shifted to 'Are we able to avoid a recession?' and if we are going to get a recession, what kind of recession will it be?
Hence the job data coming out today might be closely looked at as it might give an indicatoon at how much the Feds are going to raise rates by. This Fed is data driven and they are likely to look at all recent datas to justify their decisions. And a strong labour market will give them more leeway to frontload rates to get a grip on inflation whilst trying to navigate a soft landing so called to say.
A weak data might actually give the bulls impetus as that might actually reduce the Feds likelihood to increase rates wantonly and that might see the rally continuing.
Not much on the technical aspect as I am still monitoring the 3900-3950 levels which if surpassed might see a continuation to the 4100-4300 levels which I believe is where the rally will fizzle out and the markets fall back. The market action from there might indicate if the bottom is in or if we might actually see another leg down. So do stay cautious still.
Stay safe 😊
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- Elky·2022-07-11Thanks for sharing your thoughts but perhaps, it will be better not to have the statement "market action... might indicate if the bottom or... another leg down." Doesn't seem to really say anything2Report
- jimstocker·2022-07-10thanks for the info, just wondering when the nightmare will end.4Report
- zinglee·2022-07-08I don't think the rebounce will last,the recession is still here.3Report
- Vinncent·2022-07-10Thanks for ur information, keep sharing3Report
- AE2·2022-07-09bull getting ready3Report
- DonnaMay·2022-07-09Thanks for your excellent post.3Report
- nimbly·2022-07-08Thanks for your sharing.3Report
- Jason1616·2022-07-09Next week slide ?1Report
- pixiezz·2022-07-08The Chinese market is full of energy.5Report
- greedycat·2022-07-10like一个呗4Report
- vippy·2022-07-08Agreed.Be careful.we'd better to wait for now.2Report
- MTjondro·2022-07-08Yess i dont know what happened yesterday. But what i know is inflation [Duh]3Report
- Lisa688·2022-07-10好👌谢谢分享4Report
- Bonta·2022-07-08Lets see wat happens tonight…1Report
- CET 789·2022-07-10[Cool] [Cool] [Cool]1Report
- Susunehneh·2022-07-09The china market may also be volatile soon2Report
- GH_82·2022-07-08Market is fluctuating1Report
- setia100·2022-07-11Rate hikes perspective probably nail down the bull❗🤔1Report
- lowmy·2022-07-11wonder the new wave of covid will affect Fed decision to slow rate hike1Report
- setia100·2022-07-11Very good short-term view 👍1Report