As you’ve noticed, the website is back up and running. My apologies for last week’s delay, our SSL certificate had expired and getting it renewed turned out to be a bit more complicated than expected. We’re all set now, so let’s dive right in and get caught up on the latest market action.
Article Category: Employment
I want to start off today with a chart that shows exactly why you shouldn’t trust most economists – at least those with ulterior motives. This chart also helps demonstrate the importance of crowd psychology across both the financial markets and the broader economy.
As you most likely know, last Friday’s strong jobs report – which showed 224,000 jobs created in June – has caused a bit of unease across the market. With investors now salivating over the prospect of a rate cut, robust economic data has come to be viewed with disdain. After all, who wants a strong economy when we can have asset-price juicing stimulus instead?
It’s frankly astounding to me how much power the Federal Reserve holds over the psychology of market participants. One reassuring comment from Jay Powell can send the market 5% higher in a week, while an offhand comment, such as we saw in October, can throw the market into a severe correction.