Posted by DigiNomad on 12th of Jun 2023 at 01:30 pm
If the market rallies into Wednesday, it's going to put JP in a
similar position to last August where he came out with a short,
forceful speech where he basically said "Simmer down people. I
don't know what you think I said, but your were mistaken. THERE
WILL BE PAIN". After all, asset prices = equites,
commodities, etc...and that's the major worry right now. Energy
getting crushed, which helps, but rally into Wednesday or even into
the close tomorrow and the committee is probably going to feel like
asset prices might get away if they don't deliver a hawkish
message. On the positive side, we've already had a stealth
housing crash in real terms (probably 15% down this last year
alone)...so maybe the Fed won't be looking to get the correction
they essentially promised...at least not in nominal
terms.
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If the market rallies into
It's like Groundhog Day - no volatility, no action; just ...
Posted by DigiNomad on 12th of Jun 2023 at 01:30 pm
If the market rallies into Wednesday, it's going to put JP in a similar position to last August where he came out with a short, forceful speech where he basically said "Simmer down people. I don't know what you think I said, but your were mistaken. THERE WILL BE PAIN". After all, asset prices = equites, commodities, etc...and that's the major worry right now. Energy getting crushed, which helps, but rally into Wednesday or even into the close tomorrow and the committee is probably going to feel like asset prices might get away if they don't deliver a hawkish message. On the positive side, we've already had a stealth housing crash in real terms (probably 15% down this last year alone)...so maybe the Fed won't be looking to get the correction they essentially promised...at least not in nominal terms.