Key insights
- The author notes the market's resilience despite persistent inflation, high yields, and geopolitical uncertainty. The NASDAQ quickly recovered from session lows, suggesting strong buying pressure and a market that shrugs off negative news unless catastrophic. This indicates a potentially bullish, albeit unusual, market environment where dips are rapidly bought.
Market still feels weird to me right now.
You’ve got inflation staying hotter than the Fed wants, traders talking about inflation maybe ending the year around 4.5%, rate cuts getting pushed back again, yields staying high, and geopolitical stuff still unresolved.
Normally you’d expect at least a decent pullback with that setup, but every dip gets bought within hours. NASDAQ was literally bouncing off session lows again today.
Feels like bad news barely matters anymore unless it’s catastrophic.