I would be very cautious in here. Maybe you get a bounce. Am sure you are aware Fed did not extend a CL to Central bank of China. You have the Saudis getting nailed to the wall with a strong $, and weak oil prices. With the BBB credit issue out there plus whatever is out there in PE boggy land, I hate to say this but I believe there is …
I would be very cautious in here. Maybe you get a bounce. Am sure you are aware Fed did not extend a CL to Central bank of China. You have the Saudis getting nailed to the wall with a strong $, and weak oil prices. With the BBB credit issue out there plus whatever is out there in PE boggy land, I hate to say this but I believe there is a lot more to come to the downside. Psychology of market has changed, little faith in the powers that be. I personally think the more the governments do the worse it gets. They are inciting panic. There needs to be a time out, let the volatility burn itself out. What the Central banks / politicians are unintentionally doing is pouring gas on the fire. Truly amazing the incompetence being exhibited. What is going on in the market should not be a surprise to anyone. I have maintained the virus simply exposed the flaws , deficiencies that were masked by the ultra low rates. The virus was the catalyst because it could not be controlled by the government and obviously and it effected the entire world. Kevin nailed when the Yen broke. That was when all the algo correlations broke down.
Alden - I think you are spot on correct when you say, "let the volatility burn itself out." That's the best advice I have heard in ages. When I think about what I would like to see in the market, it's not a straight up market, but rather see moves calm down to under 2% every day. That's what I am hoping for. And maybe I am guilty of "hoping" it comes rather than simply waiting for it. Appreciate the point of view. Really great comment!
I would be very cautious in here. Maybe you get a bounce. Am sure you are aware Fed did not extend a CL to Central bank of China. You have the Saudis getting nailed to the wall with a strong $, and weak oil prices. With the BBB credit issue out there plus whatever is out there in PE boggy land, I hate to say this but I believe there is a lot more to come to the downside. Psychology of market has changed, little faith in the powers that be. I personally think the more the governments do the worse it gets. They are inciting panic. There needs to be a time out, let the volatility burn itself out. What the Central banks / politicians are unintentionally doing is pouring gas on the fire. Truly amazing the incompetence being exhibited. What is going on in the market should not be a surprise to anyone. I have maintained the virus simply exposed the flaws , deficiencies that were masked by the ultra low rates. The virus was the catalyst because it could not be controlled by the government and obviously and it effected the entire world. Kevin nailed when the Yen broke. That was when all the algo correlations broke down.
Alden - I think you are spot on correct when you say, "let the volatility burn itself out." That's the best advice I have heard in ages. When I think about what I would like to see in the market, it's not a straight up market, but rather see moves calm down to under 2% every day. That's what I am hoping for. And maybe I am guilty of "hoping" it comes rather than simply waiting for it. Appreciate the point of view. Really great comment!