Number came in soft enough to illustrate that inflations finally running out of steam so when the c pichlt came in around 3 way down from where it was before we all cheered. Many people bought stocks. Everything was fine, right wrong. That rally was a totally revolting development. Sure enough the averages spent the rest of the session selling off dow finishing just up 53 points while nasdaq advanced minor. A far cry from that yoef heated opening. Theres so many reasons why it was a mistake to buy stocks this morning. Because ive been spending this whole week teaching you how to avoid the kind of mistakes that make you give up on the entire stock market were going to unpack this one. Unpack it good mistake number one the vast majority of people who follow the stock market closely were predicting that the Consumer Price index would be up around 3. 3 . It was actually up 3. 2 . Take note. When most prognosticators predict 3. 3 inflation and yet 3. 2 inflation, guess what its not a surpri
Which is much less devastating than a burst bubble. One thing right now tao plummeting and nasdaq down 52. 3 . We actually finish even lower. It had been the opposite pattern. Boli action on the other hand is when you go straight up and then straight down but the only rescue being bubbles in 2006 and 2007. A ton of toppy action. Dragging down an entire group of investors. Most of these people never came back and in 2007 we had the bursting of the housing bubble. Nobody ould give anybody a mortgage because they were getting them to third parties. Then they rolled them into height the risk. What happened we had a financial crisis that nearly brought down our entire economy. The first one, destroyed confidence in the stock market and the second was the stomach. Destroying major Financial Institutions are leading to the great recession. That was truly a horrendous bear market. Right now we have nothing like that but i will admit though market feels toppy which is worse than fluffy and ther
Getting too frothy for my taste. Now, what does frothy really mean beyond some sort of pejorative connotation involving overenthusiasm s p backs 77 and nasdaq declined. 34 a market that likes. When you get a game stop situation, a bunch of home gamers join forces to push up stocks, things get really frothy very fast. The stock went from 4 to 400 before falling off a cliff again. If you want to spot froth, keep an eye on the soaring stocks and figure out if theres anything real behind this boost or if theyre phoney before we get too negative, maybe it would pay to do a little investigating maybe not everything is frothy maybe some stocks actually deserve to trade higher. Hey, can you imagine maybe many do. I got to, lets do this. Which actually have substance. So we can draw conclusions about how dangerous this moment really is quantumscape, up 66 . This is a Battery Technology company geared toward electric vehicles given there was no other news, this one feels ridiculous to me. Theyve
Actually, yes. Yes if youre a Portfolio Manager who abandoned stocks when Interest Rates go up, which is what happened pretty viciously in the debt downgrade. The treasury cant be worth as much as before so stocks therefore cant be worth as much either as hundreds of billions of dollars change hands on the direction of bond yields when the yields go up, rates go higher people automatically selloff. Sell, sell, sell it didnt help a recession if the economy slows. Very hard to see a recession if the economy doesnt slow the stocks that hurt the worst are the highflyers. I want you to take cramer fav advanced microdevice tremendous growth in semiconductors for Artificial Intelligence it shot up six points in after hour trading we knew it was going to be a terrific day of trading the next day based of fundamentals. Then out of nowhere we got the fitch downgrade. Yeah if u. S. Treasuries slip to their double a plus rating, amd stock went being up 6 to being down 8 having interviewed the ceo
Other ive driven all this is down to 0 line from the also coming up. The desk told in gaza crosses 30000. This is as these riley attacks across the strip intensive hospital struggle to cope with the rush of survivors. Many, all fairly folks, because of the lack of stuff and of medicines, the. Well, we begin with breaking news from casa city with israel has killed at least a 104 palestinians around 700 people have been injured. Thousands are in Critical Condition. More than 30000 people have now been killed since israel began its war in october as well. So those days attack is being described as a massacre of civilians buys randy troops. Hundreds of hungry and stopping palestinians had gathered to collect food aid when they were attacked. By his ready snipers and showed by his right the tax, Michael Apple reports now on how the events unfolded. In the early hours of the morning, thousands of people flocked to l. Rashid road, southwest of gauze, a city desperate for a stayed. Survivors s