Allegedly, the markets want inflation to go down and we are now bearish because it is not doing what we want. That’s what investors say by turning bearish again after inflation data we received on Wednesday and Thursday.
But no matter how you slice it, inflation is going down. These fluctuations month to month do not matter. All the wobbly spooky mood of Wall Street over a short term fluctuations are not necessary and to be honest – plain stupid. But if you have been in the markets for long enough, you know that it is how Wall Street acts. The old adage says that the markets discount future (or it looks at the price 6 to 18 months ahead). But based on the investors behavior they do not foresee anything beyond the tip of their own nose.
So the bearishness on Wall Street continues. Today, the market will most likely finish red and we may see a continuation on Monday too.
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