Why is Growth Rallying?
Commodities rolling over -> Lower Inflation. Lower inflation -> Potentially less aggressive Fed. Less aggressive Fed -> Rally in growth stocks.

The real question is: Is this the start of a true trend reversal or another bear market rally before continuing down in the near future.

I am thinking this is a short term rally at the end of the quarter (which ends next week) before more downside in July/August.

What are your thoughts?
Christian's avatar
Too much uncertainty no way for this to continue up. It’ll go back down
Christian's avatar
Here is a more blunt answer, once the FED has their head on straight we rally lol
Preston | Investor Insight's avatar
@christian7621 What do you mean head on straight? You think these rate hikes are the wrong decision?
Christian's avatar
@investorinsight no no. Sorry if it came off wrong. I think the interest rates are the right thing. I think the FED made this mess and made it get worse and now all of a sudden are trying to be our friend. They should’ve been doing more from the beginning
Preston | Investor Insight's avatar
@christian7621 This is the common consensus for sure but hindsight is 20/20. We have to focus on where we are at now and where we are going because we cannot change the past unfortunately.
Christian's avatar
@investorinsight Nope you right, I just find it funny now that the FED is saying they are doing the right thing and trying to help us when for months it was just transitory. I think the FED are a bunch of liars and con artists personally lol
Preston | Investor Insight's avatar
@christian7621 I dont know if I would go that far, but they definitely need to improve their models to project these things better. Everyone knew inflation was not going to be transitory with all the money printing last year.
Christian's avatar
@investorinsight I just personally think they handled this so so wrong. I also think they should've acted sooner
Preston | Investor Insight's avatar
@christian7621 100% they should have acted sooner.
Jonathan Garcia's avatar
It won’t hold. It def goes down again.
Hedge Vision's avatar
I’m in the bear market rally camp as well, but seems as if everyone is 🤔 Market loves to prove the majority wrong
Dissecting the Markets's avatar
It's hard to tell. I think growth will rally either way because their growing fundamentals will have to be reflected again at some point.
Preston | Investor Insight's avatar
@dissectmarkets If QT persists, its going to be a while because they are going to have to prove profitability and free cash flow positive to find any legs. Long term, yes, but shorter term, it's a stock by stock basis in my opinion.
Dissecting the Markets's avatar
@investorinsight do you see the US turning into a major war-time economy because of the whole Ukraine conflict?
Preston | Investor Insight's avatar
@dissectmarkets It all depends if Biden wants to stick his nose in that battle again or not. Personally, I think we should stay out and use the money that we are sending over to them to help supply chain issues stabilize. That would be more beneficial for the US.
Modern Growth Investing's avatar
IDC, I keep buying, phenomenal returns are a certainty.
Neil's avatar
Earnings season will confirm the big slowdown. We go back down
Paul Cerro's avatar
No mention of yields dumping after it's YTD high just last week
Chris's avatar
The last 10 years $SPY has held its 50 period simple moving average very well, the blue line.

Leandro's avatar
Impossible to predict, like every short term movement in the stock market. The war could end tomorrow, inflation could come down considerably and what seems as a bear market rally can turn out to be a real rally