NEWS:
LOWER THAN EXPECTED INFLATION 2.8%
Close to the 2% that Powell is asking for.
The market is bouncing back strongly, you know why.
Powell is more likely to lower rates next week and put an end to this guerrilla madness.
Powell only keeps rates high to:
-Control inflation
He will only lower them if:
-The economy weakens and unemployment rises.
What has Trump achieved?
-Lower inflation than estimated
-Increase in unemployment due to massive layoffs in the public sector
-Markets falling for the 3rd consecutive week.
He is leaving Powell no choice but to lower it if he follows his own guidelines from these years.
What happens if prices stabilize or rebound?
Options MM come into action buying huge amounts to earn massive premiums.
Remember the options market is at a record high of puts (bearish) in history.
Options short squeeze on the way
