The market continued its sell-off (and unfortunately, it will continue). The investors are now looking at the FED’s damage to the economy. If retail sales were a miss, you would think that it was good news. The FED may finally pivot. But it is no longer the narrative. It is now evidence that the FED is damaging the economy, and with their forecast of more damage to come, the recession is now more likely than it was just two weeks ago. Everybody, but FED, understands that the FED uses old, outdated, and lagging data to set their policy, and now they are likely overtightening the financial markets, and when they finally realize what damage they would have done, it would be too late to fix it. And despite cutting the rates, the economy will continue sliding lower into a recession. As much as I hate it, I just got rid of all growth stocks and high PE stocks and wait this storm out before buying back.
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