Why is the bottom in the US market already reached?
1. Bonds turned up / yields down, and along the entire curve (wrote many times). One can, of course, argue that this growth happened on the flight from risky instruments. To this we object that if investors were waiting for a further increase in yields due to inflation or because of the Fed, then they would run from risk into cash, and not into bonds, where there would be a risk of catching another loss.
2. The dollar turned down (also written many times): the yen, the euro, the franc - they all turned around.
3. The Chinese market is holding up well and is far from the lows. Because the easing of quarantines, and the reduction of pressure on Tehi, and credit stimulation - all this is already happening. This is good not only for China - it will reduce inflation and underpin the growth of the entire global economy.
4. Prices for most commodities have come off their peaks and are likely to decline gradually.
5. The index of greed and fear is in the zone of "extreme fear", and closer to the lower border. These values don't last long.
2. The dollar turned down (also written many times): the yen, the euro, the franc - they all turned around.
3. The Chinese market is holding up well and is far from the lows. Because the easing of quarantines, and the reduction of pressure on Tehi, and credit stimulation - all this is already happening. This is good not only for China - it will reduce inflation and underpin the growth of the entire global economy.
4. Prices for most commodities have come off their peaks and are likely to decline gradually.
5. The index of greed and fear is in the zone of "extreme fear", and closer to the lower border. These values don't last long.
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