Investors seemingly can’t stop trying to pick a stock market bottom, no matter how bad the news—and it continues to backfire. The day for a real bounce, however, may be coming soon.
Consider: This past Thursday, September’s consumer inflation report came in much hotter than expected, with the core CPI hitting a 40-year high. The initial response was exactly what you’d expect—the
S&P 500
traded down as much as 2.4%—but then it started rallying…and rallying. The index finally finished the day up 2.6%, the first time that’s happened since 2008.
