This morning's sharp 70 point advance in the S+P 500 Futures for December
was attributed to a Wall Street Journal article breaking in pre-market trading
that "unnamed Fed officials having concern
that too much rate increase in the short term could significantly harm the US economy.
Bullish S+P 500 Futures traders took bit of unsubstantiated information
and ran with it, causing short term bearish traders to cover shorts as the market
moved sharply higher higher against them.
Put it this way.
Anything that can help slow the "deceleration" of the US economy would be a welcome respite..
However,the Federal Reserve Bank of the US
is still on track to raise their target lending rate by another .75 % to 4 %
at their next scheduled meeting on Nov.2, and then potentially another .50% increase at their December meeting.
THE_UNWIND
10/21/22
Woods of Connecticut
was attributed to a Wall Street Journal article breaking in pre-market trading
that "unnamed Fed officials having concern
that too much rate increase in the short term could significantly harm the US economy.
Bullish S+P 500 Futures traders took bit of unsubstantiated information
and ran with it, causing short term bearish traders to cover shorts as the market
moved sharply higher higher against them.
Put it this way.
Anything that can help slow the "deceleration" of the US economy would be a welcome respite..
However,the Federal Reserve Bank of the US
is still on track to raise their target lending rate by another .75 % to 4 %
at their next scheduled meeting on Nov.2, and then potentially another .50% increase at their December meeting.
THE_UNWIND
10/21/22
Woods of Connecticut