Why did the S&P 500 move higher today?

Today, Powell said he would stop bond purchases by March and hike rates three times in 2022. This made the market go up. Can someone please explain the reasoning.

Thank you!

See, you gotta play the game, before the game plays you dog!!

Would you say theory does not work to make predictions.

I know everything is based on sentiment and not logic.

Don’t hate the player! Hate the game! Baby!

follow price action and breadth data

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What’s a good time frame for breath?

I guess the market was expecting the Fed to end it sooner? Is that why it goes up? Also the three rate hikes does not seem to have an effect. Is that because the hikes are small? I believe 0.90% by end of 2022.

Read Shiller’s and others’ analysis of noise around financial news stories. You can’t read into things like this as if there’s a 100% cause-and-effect. The financial media’s game is to make retail investors think there is, then generate viewership and ad revenue around the pretense of tortoiseshell rim-bespectacled hosts somehow being able to exactly attribute one-day moves, when in fact, maybe the big news of the day had an insignificant amount of influence on the day’s market action. This is the illusion of expertise in domains that one cannot possibly have all of the answers.


Is there a particular article, paper or book from Robert Shiller you recommend?

Thanks in advance!

For this topic, start with Narrative Economics.

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use NYSE up/down volume and advancing/declining issues

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Use of weekly charts are very important to clear out the fluff.

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This is wonderful. Thank you!

Nassim Taleb has some pretty funny anecdotes about financial media´s fascination about always having a clear cut cause-and-effect story to dish out to the hungry public.


What’s everyone holding/buying in 2022?

Are you asking for financial advice?

Hey man! Two brains are better than one. :blush:

not really just curious

Holding and buying low fee broad market ETFs. Boring, I know.

Would the CFA institute revoke your charter if they found out you held meme ETF?