(1/25/22) Markets' sold-off sharply through the first half of the day, with downside liquidation pressure. However, at midday, markets rallied to recover all of the morning's losses, with a huge volume surge at the end of the day. All of this activity took place within the context of a pre-Fed meeting environment: That discussion will center on whether to hike rates and/or tighten the Fed's balance sheet, ostensibly to blunt the effects of inflation. But markets are apparently calling the Fed's bluff by selling off since the beginning of the year. Weakness in Consumer Sentiment and ongoing downward pressure in the markets have got to be concerns for the Fed, possibly shaping it's actions and tone at this week's FOMC meeting. But if inflation has already peaked, could the Fed be late in its policy direction? If the Fed sticks with its aggressive stance, we could see more downward pressure in the markets. But if the Fed soft-pedals its position (as we expect), stocks could gain some real momentum over the course of the next few weeks. - Hosted by RIA Advisors Chief Investment Strategist, Lance Roberts -------- Get more info & commentary: https://realinvestmentadvice.com/news... -------- Watch the video version of this report by subscribing to our YouTube channel: &list=PLVT8LcWPeAujOhIFDH3jRhuLDpscQaq16&index=1 -------- Visit our Site: www.realinvestmentadvice.com Contact Us: 1-855-RIA-PLAN -------- Subscribe to RIA Pro: https://riapro.net/home -------- Connect with us on social: https://twitter.com/RealInvAdvice https://twitter.com/LanceRoberts https://www.facebook.com/RealInvestme... https://www.linkedin.com/in/realinves... #FederalReserve #OptionsExpiration #Inflation #Oversold #Buyers #Markets #Money #Investing |
Tags: Featured,newsletter
5 pings