There were a couple of major economic data points released this morning: the advance quarterly growth for the GDP as well as the Core PCE Price Index which, as required by statute, is stated by every media in the country to be “the Fed’s favorite inflation indicator.” So, yeah, let’s look at them both.
The GDP was expected to come in at 2.8%. Instead, it is HALF that value. I guess the tariffs continue to work their magic.
Conversely, inflation came in one-third HIGHER than anticipated. Dying economy and rising prices. Win/Win!
As such, the NQ is falling…….
……as is the ES……..
…….and the RTY small caps……..
…….while at the same time, real money, also known as gold, continues to shore up strength.
I would also note that the Dow hasn’t dared cross above 50,000 a single moment since Pam Bondi dared to tempt the market gods. Maybe if she went to a law school that wasn’t literally ranked 99th in the nation, she would have learned of the obscure codicils requiring that the market gods never be tempted.
Concerned as I was that my heavy short positions (43 of them) would compel equities across the world to blast to record highs, for the moment, at least, things are looking good. See you on the beach.
