This Friday we met the 0.5 Fib retracement level from the last breakout.
Wall street snapped on its 9 week winning streak.
Mixed with both fear and hope to number of expected rate cuts in the current year of 2024, recent commodities price had shown re-incarnation followed by increasing tension in regions including Mid-east, Korea, and Ukraina.
Major AI stocks that carried the market throughout 2023 had cooled off a bit during the first week of Jan. But, is this really the end?
All eyes are on the US inflation data for further cues on the Federal Reserve's monetary policy outloook. Forecasts suggest consumer prices likely edged up by 0.2%. We could assume the service sector laid off number of their employees to maintain their high-productivity rate continue from last year. With this expectation, 6 rate cuts may seem naive option to blindly follow. Although, I expect market to move up for the first three days just because of the false hope of dovish fed speech planned for this Thursday.
Eliot Kim