the market (s&p500) has been on a downward trend since January. inflation is at 40year highs (8%); people are spending more but getting less. so the feds want to reduce inflation, one way they are doing this is by increasing interest rates: which means companies and people will borrow less money; which means companies will invest less into their company and people will buy less; which means company revenues will decrease: which means companies stocks should fall as the economy slows… but this is what the feds want.. “this is a feature not a bug” … and in the end hopefully inflation will drop to “nominal” levels (2%?)… but this might take years … so if you are buying stocks now make sure the company you bought will survive… it should not come as a surprise when companies, like snap revise lower their earnings outlook.
observation: i been watching bloomberg tv for the past 4 months and everytime stocks go up, they call it a bear market rally. and you know what, so far they have been right. they also keep talking about a possible recession next year. just fyi.
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