Jerome Powell is responsible for the recent severe market decline. 📉 He is responsible for addressing negative economic indicators, but the market's vulnerability has been exposed. We await key data releases, such as nonfarm payrolls and the unemployment rate, which follow the interest rate meeting and show a decline. 📊
A few days ago, I identified potential negative signals but decided not to elaborate further because I was confident that Powell would address them. I assume he has access to comprehensive data and will manage market expectations effectively. However, the data release was handled poorly. This situation is not a proactive interest rate cut but a reaction to the market already predicting a recession, with all the negative indicators going on. 🕵️♂️📉
In 2021, Powell let inflation rise significantly before quickly cutting interest rates to combat it. Now, in 2024, he is once again delaying action until all negative signals are clear. The delay in reacting to adverse indicators before deciding to cut interest rates had a significant impact on the market, which highlighted his mistakes and lack of timely intervention. #Write&Earn