Reverse repo liquidity, huge shorts combined with seasonality babyI keep hearing that iffff the 10 yr gets to or below 3.5% it could be detrimental for the markets and stocks. Now a days the 10 yr trades like its a dot com stock so its anyone guess where it's headed at the moment. But to be clear its quite insane the way the 10 yr is trading and how stocks and other asset classes are behaving. These are NOT normal markets!!!
The trend of (CPI) is the trend - do you think it is better for The Fed to wait till its back down to 2%?View attachment 329638
Just for the record:
CORE INFLATION released only 2 days ago showed a sloppy 4%.
And the FED chief clown talks with his colleagues about "rate cuts".
100% election motivated. The old man in the White House needs a helping hand. And will lose the elections anyway.
Another one mixing politics and trading.And here is your 13% prediction from Rick
And this was around the time stocks were selling off and no one wanted to buy the SPY at 415 but absolutely love it at 60 bucks higher at 475!! Can't get enough of it buying every single 3 cent dip.....
fools!!
https://youtube.com/shorts/aFkavNOWZus?si=A5MvV0-_UAHhV8e3
Gundlach is a pretty smart guy. His 3% rate call seems alarming but it could happen. Of course he also believes markets are overpriced. As for politics I remember in Jan or Feb of 2016 he predicted that Trump would win the election based on the endless crowds of people coming to see Trump speak.