In today’s “You can’t make this stuff up!” reality, I just want to add the following…
For those that may still question my assertions that “Nothing, repeat, nothing else matters to the ‘markets’ other than what the Fed is, will or won’t do.” I present the following chart. To wit:
As one can clearly see, the moment, as in to the minute, when the Fed minutes were released the “markets” interpreted the news as “It’s not gonna be that bad!” and rocketed straight up into the close to bring it right back into the center of my improvised Mean channel.
Where it goes from here is, of course, anyone’s guess. However, what I will point to is that “all clear” type of signalling the algos feasted on as to run it up into the close is based upon language and a setting that was from a meeting held in January. The Fed, so far, has both stated repeatedly, as well as held an emergency closed session since, as to take up just how much they truly mean it this time regarding rates and balance sheet run off.
Again, all I’ll point out is, once again, it’s all still acting all bit too technical. After-all, just look at where the “market” ended and stopped. i.e., Right where the channel laid out prior indicated it would if it had any meaning.
I believe the meaning is now obvious.
© 2022 Mark St.Cyr
Note: This is not trading or investing advice of any sort. This commentary is for “big picture” discussion purposes only. Please read, or re-read the “About This Site” page for any questions or clarifications.