You bring up Japan as example of what can be done, group think. But you're jumping cultures. Japan is a hyper homogenous and conservative country. There's a dark side to it, from the high suicide rate and deaths from overwork, lowest birthrate in the world, its well recognized war time atrocities, its debt rate, its corporatist economic structure that Mussolini would have drooled over, the hyper hierarchical society .. yes, America/Canada are very, very different; young, multiethnic, multicultural and often anarchic societies driven by hyper individualism. Most of its people are rejects from other nations who found opportunity and ran with it, some becoming very successful in the process. It's the antithesis of Japan! The advent of web communication, giving the individual a world stage, was like handing out a concoction of steroid and meth to everyone. Individualism turned into "look at me!" hyper competition for attention. It's a mayhem of social anarchy that everyone jumps into, from the far left to the far right, from the most liberal to the most conservative trying to outshine everyone else for no other purpose than attention. Neither government nor uniformed authority can or cares to bring order to this chaos because the cost in lives would be too great. Dictatorship doesn't have much of a following in America, despite recent efforts. The greater the anarchy, the more individualistic society becomes. From nation to statehood to hood to family to me. Full circle to primitive societies.
Nobody (except the perma bears) thinks that rates are going to stay high for long. People are still buying the dip in US stocks in anticipation of rates going back to much lower levels.
spy and dow are down alot year to date...but there are always a bull market somewhere. u noobs traders just need to know how to scan for uptrend stonks like these: lly, mrk, tjx, ulta, elf, cprx, th, noc, etc.
Well, pick your poison. I choose a hierarchical culture that celebrates respect for the person next door, respect for the environment and nature we live in, with all its downside any day over the total chaos we currently live in. Can't pick and choose among the goodies, only, I guess.
Canada just posted super robus employment numbers which points to further increases. It's pretty certain we see similar developments unfolding in the US as well. The market is wrong, as wrong as it has been all year. Once the first large players throw in the towels the real slide will just begin.
People need to stop doing that. As we have seen all last year...Every time the dips have been bought, those dip buyers have been obliterated if they did not time their sells properly, because Powell came out with his machine gun mouth and shot down all hope because of rate hikes being needed. The dip cannot be safely bought until the FOMC finally says "We are pausing hikes now, and we will wait for a while to see the effect they have had on the economy." We don't even need a pivot for relief. We just need a pause. That is what I am waiting for. If the Fed says we are going to keep rates at this level for 2023, the market will soar. A pivot would be too bombastic, even for Powell, at this point in time. Until and unless the above happens though? 2023 is going to look just like 2022, with a lower-high/lower-low grind south.
Powell has been winning. QT continues on yet 10yr yield has been dropping since late Fall. Can those two trajectories continue is the question?
That's historically lower normal. Average P/E last 40 years is roughly 22. Calling it "super expensive" is absurd. A mild recession is priced in on the SPX. Rates aren't high on a historical basis either. I don't know if you are just too young to have any real perspective.