Alessio Rastani: Why Everybody is WRONG about the Markets and the Fed Pivot (danger for 2023)
Why everybody is wrong about the markets and the Fed pivot (danger for 2023). Most analysts and economists are expecting a "fed pivot" either in December or next year in 2023. The "Fed pivot" is when the Federal Reserve decides to reverse its strategy of raising rates to bring inflation under control and instead to cut rates (hence the "pivot"). This event is expected to happen some time in 2023. The majority of analysts and economists are of the view that this pivot by the Fed will be a positive for the stock market - i.e. that it will make stock markets rally much higher. However, does history agree with this view? In this video I am going to show you why the majority opinion on the "Fed pivot" is mistaken. History shows something completely different to what the majority of analysts expect. In fact, it seems that the stock market usually rallies in expectation of a pivot by the Fed (when the Fed decides to cut rates) and after the pivot occurs, the market is ready to make a top and drop much further lower. We look at examples from previous major pivots in the years 2007, 2000 and 1973. #stockmarket #sp500 #alessiorastani
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