The data yesterday was not good, so the probability of interest rate cuts rose to ninety-nine percent. Under this situation, which is hard to tell if it’s good news or bad news, the market first rose and then fell sharply, catching many people off guard. Since the interest rate cut is basically certain, many people opened long orders, but the market dealt a heavy blow, and many still chased the price in, so the losses were quite significant. When you think about it, it’s understandable why the interest rate needs to be cut; it’s because the market fundamentals are not good. Since it’s not good, why still look bullish?
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LuYong
· 09-06 04:44
Many things have duality; after the interest rate cut, there is more money in the market, but the data looks bad after all. This is the duality of things.
The data yesterday was not good, so the probability of interest rate cuts rose to ninety-nine percent. Under this situation, which is hard to tell if it’s good news or bad news, the market first rose and then fell sharply, catching many people off guard. Since the interest rate cut is basically certain, many people opened long orders, but the market dealt a heavy blow, and many still chased the price in, so the losses were quite significant. When you think about it, it’s understandable why the interest rate needs to be cut; it’s because the market fundamentals are not good. Since it’s not good, why still look bullish?