S&P 500 declined, but the short-term bullish case is far from lost. There is a stark contrast to yesterday‘s tech earnings as opposed to Walmart or Snapchat lately – shifting focus to the current stage of the economy, which isn‘t that gloomy yet, regardless of the likely negative quarterly GDP figure coming tomorrow. Coupled with the subsequent Yellen press conference, we have a lot of not-a-recession talk to look forward for. After all, the greatest deterioration is in the leading components, and that takes time to seep into coincident indicators – late 2022 pr early 2023 looks to be a better timing for an officially declared recession. With the Fed doing 75bp hike, and no more, the table is set for a relief rally later today, and for getting second thoughts tomorrow (as usual lately, one day after FOMC).
Image and article originally from www.barchart.com. Read the original article here.
