I read on Twitter, a large move into cash. Some into bonds and less into stocks. Why the large move into cash...
Overall agree with what you are saying. US Fed keeping rates higher for longer so they can rebuy those prior issued bonds at cheap rates. I think there is still a concern over the govt not being able to pay for a lot of their debts as they need someone to buy them going forward. If the money or buyers fade away, then it will all collapse. Every market has a collapse at some stage, and bonds will not be immune which means a default. Maybe bonds are dropping in price because the buyers are fleeing?
Your scenario might play out in the way foretold, so I will add it to the possibilities going forward. I believe more that the markets once in free fall, will continue for a bit longer than the outcome of the election. They should have played the hand in October last year and let the correction and recovery happen around now. Everything is part of the bigger plan, so we are all being played in one way or another. Reality will hit and then the markets will move in whatever way they want anyway
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