So now we have a very interesting situation.
Bond Market spooked by Zombie president (I dont vote..I just trade). And, as a result,
Fed really has no choice but to become dovish. Trump seems to have already won (again, I dont care, I dont vote). If you recall, Trump had his boot on the neck of the Fed, preventing them from raising rates during his first term. So, we have dovish, with at least one rate cut going into the election (maybe 2), then a long list of rate cuts in the first year of Trumps term (I think Trump will ignore inflation during his first term).
I doubt the AI bubble will continue as it is...but a Dovish Fed will allow a much broader stock run, allow small caps to finally catch up, allow investors to diversify away from NVDA and still hold the bull market intact.
