Savvy Trades and Investments

[wadegarret]

R59, Bear market rallies are orchestrated

IMO. I can't explain how it's done, but the fact that so many bear market rallies happen during bear markets, in and of itself says these rallies aren't random stock action.

As far as inflation. Yes rents came down .2% last month, and of course housing is plummeting(as it now costs 7% for a mortgage), however rent inflation continues to be a problem, and the bigger issue of Wage inflation is ongoing. I don't understand why investors are assuming the fed will now pause, especially after the Jackson Hole speech, where Powell was preparing consumers to feel pain. Bottom line is, I doubt the fed won't over shoot, as not hiking enough is more risky than sending the economy into recession, and making sure to cure this huge inflation problem.

As I said in an earlier post, I firmly believe we're still in the early innings of this bear market, and this present bear market rally(S&P up 11.5% from the bottom in two weeks), just like all others, has no meaning, except to hurt the shorts.