07-20-2021, 08:16 PM
Why so red? A summary from the WSJ today.
<!-- SC_OFF --><div class="md"><p>Much like the sentiment that all crypto follows BTC, I'm a firm believer that crypto in general follows traditional financial markets. </p> <p>Here's a summary of an article in today's Wall Street Journal titled "Delta Variant Fears Shake Markets" that I think paints a red picture of what we saw yesterday. </p> <ul> <li><p>The DJIA decline 700 points yesterday, it's worse session in nine months</p></li> <li><p>The blue-chip index fell 725 points, its steepest decline since Oct 28 2020</p></li> <li><p>10 year US treasury note went to lowest level since Feb '21</p></li> <li><p>Governments are considering lockdowns again due to Delta variant </p></li> <li><p>Inflation growing faster than expected </p></li> <li><p>Strained US/China relations putting pressure on trillions of dollars worth of US listed Chinese companies </p></li> </ul> <p>-"The market is saying the economy is going to slow down fairly significantly in the next weeks or months"</p> <ul> <li><p>Markets rallied first half of 2021 as people bet the economy would bounce back post-Corona</p></li> <li><p>The economy grew 9.1% from April-June, the second fastest pace since 1983</p></li> <li><p>Analysts are predicting S&P 500 profits for Q2 to be 70% higher than last year - highest growth rate in a decade </p></li> <li><p>Growth most likely peaked in spring </p></li> <li><p>Oil price is declining </p></li> <li><p>Unemployment has stagnated which could lead to labor shortage </p></li> <li><p>INFLATION, INFLATION, INFLATION</p></li> <li><p>Consumer price index rose 5.4% in June from a year ago, fastest pace since August 2008</p></li> <li><p>Investors are moving to government bonds, a general sign of market fear </p></li> <li><p>THERE HAS NEVER BEEN A MODERN ECONOMY THAT HAS REOPENED AFTER A PANDEMIC </p></li> </ul> <p>Time to strap in and HODL. Going to be a bumpy ride.</p> <p>EDIT: My first awards
Thank you fellow crytpo-psychos!</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/midnightfarmer"> /u/midnightfarmer </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/oo3fio/why_so_red_a_summary_from_the_wsj_today/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/oo3fio/why_so_red_a_summary_from_the_wsj_today/">[comments]</a></span>Kind Regards R
<!-- SC_OFF --><div class="md"><p>Much like the sentiment that all crypto follows BTC, I'm a firm believer that crypto in general follows traditional financial markets. </p> <p>Here's a summary of an article in today's Wall Street Journal titled "Delta Variant Fears Shake Markets" that I think paints a red picture of what we saw yesterday. </p> <ul> <li><p>The DJIA decline 700 points yesterday, it's worse session in nine months</p></li> <li><p>The blue-chip index fell 725 points, its steepest decline since Oct 28 2020</p></li> <li><p>10 year US treasury note went to lowest level since Feb '21</p></li> <li><p>Governments are considering lockdowns again due to Delta variant </p></li> <li><p>Inflation growing faster than expected </p></li> <li><p>Strained US/China relations putting pressure on trillions of dollars worth of US listed Chinese companies </p></li> </ul> <p>-"The market is saying the economy is going to slow down fairly significantly in the next weeks or months"</p> <ul> <li><p>Markets rallied first half of 2021 as people bet the economy would bounce back post-Corona</p></li> <li><p>The economy grew 9.1% from April-June, the second fastest pace since 1983</p></li> <li><p>Analysts are predicting S&P 500 profits for Q2 to be 70% higher than last year - highest growth rate in a decade </p></li> <li><p>Growth most likely peaked in spring </p></li> <li><p>Oil price is declining </p></li> <li><p>Unemployment has stagnated which could lead to labor shortage </p></li> <li><p>INFLATION, INFLATION, INFLATION</p></li> <li><p>Consumer price index rose 5.4% in June from a year ago, fastest pace since August 2008</p></li> <li><p>Investors are moving to government bonds, a general sign of market fear </p></li> <li><p>THERE HAS NEVER BEEN A MODERN ECONOMY THAT HAS REOPENED AFTER A PANDEMIC </p></li> </ul> <p>Time to strap in and HODL. Going to be a bumpy ride.</p> <p>EDIT: My first awards
Thank you fellow crytpo-psychos!</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/midnightfarmer"> /u/midnightfarmer </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/oo3fio/why_so_red_a_summary_from_the_wsj_today/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/oo3fio/why_so_red_a_summary_from_the_wsj_today/">[comments]</a></span>Kind Regards R