Last night after dinner when I started to look at market conditions, I was convinced Powell would through down road spikes in front of all US markets, as I had been thinking all week.
About an hour before the close I opened an analyst opinion piece in Marketwatch.com giving 5 reasons why markets would spike up after the Fed Decision and Powell’s press conference … (1) markets had been soft in the lead up to Fed Day, historically a set up for a spike upwards, (2) 10 yr bond rates had probably peaked, a good near term sign for shares, (3) market had already priced in significant bad news associated with delayed and fewer cuts this year, (4) Powell had been dovish when recently briefing Congress, ie he would be unlikely to backflip anytime soon, and (5) gas in the tank, ie no market top yet.
Points 1, 3 and 4 made good factual sense (2 and 5 seemed only opinion) so despite solidly -ve futures leading up to market open last night, I grit my teeth and pinned to be a top 5 +ve pinner.
Well done last night to Goblin, zero, pica and Go Hard … contrarian points always feel sweeter 8))
