Heyyyaaa,,, so nothing disastrous actually happened with the Italy referendum and days after that had the US market rallying to record highs for days. Last night, we had another rally for the DOW led by the Energy sector after Non-OPEC suppliers (like Russia, Canada, Mexico) agree to production cuts. As I’ve discussed in my workshops, this rally got legs, and here is a HOT one! Not only are we seeing investor sentiment brightly positive in the US, but EU which recently “tapered” its bond program is showing signs of life; China also reported strong retail sales today. (Just wait for the Chinese New Year,,, officially their shopping season) These growth indicators are positive for demand for oil.
So the rally is here right now, what about tomorrow? It is the US Fed decision day, and as mentioned, they are to raise interest rates that many feel are overdue. As decision day happens — it may be rough sailing tomorrow — people tend to sell at the prospect of interest rates rising, since companies would have to bear additional finance costs. but since we have all the projected growth and investor sentiment looming larger – a dip may soon be followed by a reversal, epecially if they mention in their accompanying announcement that the rate rises will be measured and gradual as when they did last year. (That’s what they said when they raised interest rates last year, remember?!) – and so we had a grand total of ONE follow-up rate rise). I explain further why this market rally will continue in my workshops in a discovery process, so next one is in January 28, 2017. Register at firstname.lastname@example.org
By the way, Dr. Van Tharp, whom I recommend to everbody sends out his free newsletter and more thoroughly explains the market type we are having. So go on over to vantharp.com and by the way, he is doing his awesome workshops in Singapore in Feb 2017 (last time he did was in 2008 – time flies!)