ridethepig | Banks vs Utilities It ought to be known by everyone that it is necessary in certain recessions for dead cat bounces and over a typical 5 quarter economic cycle down, it is not uncommon for 1 or 2 of those quarters to be bullish. I suspect that the strength around all the discounted earnings from August is mostly baked in now.
The concern, in the MT and LT, is the 2's 5's screaming recession is not over. Such a devastating blow that will have appeared too simple for many participants as Central Banks did not allow the manoeuvre to unfold yet. Here sellers should try to seize the lows; no matter how risk free the current environment may seem; confidence is damaged and civil unrest is in the game. I do hope my judgement of this is not over will be proven wrong, and that it really is different this time.
As usual thanks for keeping the feedback coming 👍 or 👎
