Powell: It's Okay If the Fed Breaks Something
(11/3/22) The most volatile 90-minutes in market history followed Fed Chair Jerome Powell's anticipated 75-basic point rate hike coupled with hawkish language promising still higher rates to come. And, Powell said it's okay if the Fed breaks something because they have the tools to fix it, going back to quantitative easing and zero interest rates, flooding the markets with liquidity anew. Investors ignored that part, instead focusing on the here and now and future rate hikes to come on the way to a 5% terminal interest rate. Markets broke through support at the 50-DMA, now taking aim at the 20-DMA. If that occurs, there's nothing stopping the markets from retesting the lows we saw in September. Markets, in fact, haven't gone anywhere for the past several months, trapped in a sideways trading range. Moving into the end of the year, there's lots of cash on the books of managers that will have to be put back to work for year-end reporting. Stock buybacks are back in play, as well, and next week's midterm elections are expected to throw congress into legislative gridlock. We're suggesting not to over-react to yesterday's Fed announcement, but also not ignore the fact that markets could still go lower from here.
Hosted by RIA Advisors' Chief Investment Strategist, Lance Roberts, CIO
Produced by Brent Clanton
--------
Get more info & commentary:
https://realinvestmentadvice.com/insights/real-investment-daily/
-------
Watch the video version of this report by subscribing to our YouTube channel:
https://www.youtube.com/watch?v=rDsASyehyyw&list=PLVT8LcWPeAujOhIFDH3jRhuLDpscQaq16&index=1&t=1s
-------
Visit our Site: www.realinvestmentadvice.com
Contact Us: 1-855-RIA-PLAN
--------
Subscribe to RIA Pro:
https://riapro.net/home
--------
Connect with us on social:
https://twitter.com/RealInvAdvice
https://twitter.com/LanceRoberts
https://www.facebook.com/RealInvestmentAdvice/
https://www.linkedin.com/in/realinvestmentadvice/
-
4:19
Three Minutes on Markets & Money
1 year agoPowell: It's Okay If the Fed Breaks Something
8 -
13:28
Heresy Financial
1 year agoPowell Just Outlined the Fed’s Next Moves
1841 -
10:05
InvestoCast
1 year agoFed's Shocking Move: They WILL Crash The Entire US Economy? | Peter Schiff
5 -
12:46
The Money GPS
1 year ago $0.06 earnedFed SHOCKS With What’s Coming Later in 2023! | Powell Says ‘NO’
2646 -
0:57
rethinkingthedollar
1 year agoPowell & The Fed Want More Job Layoffs
64 -
14:58
TradingFraternityRumble
2 years agoPowell Lost The Magic
3 -
0:47
DEGRACE2020
11 months agoFed's Powell: Don't See 2% Core Inflation Before 2025
7 -
3:48
Three Minutes on Markets & Money
1 year agoMarkets Break Following Fed Speech
1 -
31:44
Arcadia Economics
2 years agoEven Fed’s Powell now admits we're headed into recession
58 -
4:36
Crypto Rookie
6 months agoPowell's Shocking Revelation: NO VICTORY! NO RATE HIKES (FOMC Summary)
3