Before the market open CPI data is due and we all know if it's in the 0.1% range up or down markets will surge by 1-2%, kick back and enjoy the free gravy money making train, today markets closed at a historic high and tomorrow markets will close at another historic high. There is zero risk and only forever and ever upside ....just keep enjoying the free money as it literally rains greenbacks!!! Tomorrow cpi will be just what the markets want sending markets into hyper melt up mode, down 50k by Christmas. Zero risk all reward! CPI data Overall, economists anticipate that consumer prices rose 0.1% on a monthly basis in September after rising 0.2% in August, according to FactSet’s consensus estimates. That would bring the overall inflation rate down to 2.3% from 2.5% in August. Economists expect core inflation, which excludes volatile food and energy prices, to remain slightly higher thanks to rising prices for used cars, hotels, airfare, and car insurance. The consensus estimate is for 0.2% growth in core inflation on a monthly basis in September and 3.2% growth on an annual basis.
Who cares about whether CPI data is perfect or imperfect. We trade according to the chart and we react to it. uptrend - we buy downtrend - we sell notrend - we do nothing
The chart? Tomorrow cpi is the way to huge returns before the markets even open. Forget the charts the money is going to pour in as cpi shows inflation is trending down and that the fed can keep cutting rates to 0% to keep the markets completely pumped up. Forget charts when the fed is backstopping the market consistently
Inflation has pretty much done going up except for housing which the Fed can't do anything about unless they want to lower rates to 2021 levels which wouldn't be a great idea anyway. The housing problem is a chronic problem in all of the Anglosphere. I will say that the Fed destroyed the liquidity of the residential real estate market by creating a massive differential of the 2020-2021 mortgages and what you can currently get today. Frankly I don't even think the Fed did much to lower inflation. It was largely a consequence of a supply chain disruption. I think that's the real reason there is no recession along with infrastructure spending via the IRA.
7 minutes until markets skyrocket on very very tame inflation!!! Get ready for a 1% jump! More historic highs coming again.