S&P500 peak was 6150 has now dropped to near 5000 so that's an 18% drop. Bear market is defined by 20% and weakening economy. No real indicators that US economy is weakening just yet. Unemployment figures beat expectation despite Elon's best efforts. Inflation just about under control. Key question is how inflationary tarrifs are in the short term and how they feed into earnings. The bigger problem is that none of the other world economies are as strong as the US and they might be tipped into recession which would be bad for earnings for big US global companies.
I'm reckoning on a bit more of a fall for the next couple of weeks and then the prospect of earlier rate cuts to counter the tariff impact. Certainly won't be investing with the VIX at 40!
I'm reckoning on a bit more of a fall for the next couple of weeks and then the prospect of earlier rate cuts to counter the tariff impact. Certainly won't be investing with the VIX at 40!