I was amazed looking at the futures prior to market open how ‘quiet’ all markets were–stocks and bonds. Of course we all know futures are not really meaningful.
Then minutes before Powell begins to testify before congress the s&p500 takes a good sized tumble–down 1%. Fortunately interest rates at 3.98% are hanging in there.
I made my 1st stock trade 52 years ago and have been a student of the market since–and through all these years I have never figured out many of the movements markets make through short time frames–what Powell said in his testimony should have been totally expected–hawkish.
So as we look ahead to Fed speakers and employment numbers on Friday I sit on my hands—I am watching CD rates–that is about it. Bargains in preferreds and baby bonds may appear, but I think they will be better bargains in 3,4 or 6 months. I did pick up another $10,000 2 year CD yesterday at 5%. I had a 6 month CD mature and will have $10,000 in 6 month treasuries maturing next week so really just recycling money at higher rates–and liking it very much thus far.
Tim one thing that has changed in 50 years is algo trading. It looks like 80% plus is now and was around 15% in 2003. I suspect it was even lower in the early 70’s ha.