社区

No doubt that closing indices of DJI , SP500, Nasdaq sweep the popping screens and hit headlines of Newspapers.

The The backgournd on the stage changed suddenly and Manhattan’s sunlight finally shed on the gloomy Wall street.The heavy dose operation nearly shaked all dices on the table, regardless of the cards at hand.

India - Modi announced lockdown across India for 21days last night , you can imagine how bad the situation is there.

US : New York is now the center of huricane , in huge shortage of medical care and seeking imports to facilitate.

Transportation: Supply chain across Asia / Europend / US are almost halted in both air and land traffic; Ocean carriers experiencing huge cancellation ratio of cargoes and Airline freight still in disaster …

However, the financial market itself tells that never play against the Fed, who now opens fire with infinite bullets to save the financial market , so it’s safer to dance with the Super lady on current stage ..

The injection of Capital and the Bailout plan rescued , as the name indicates, the “Capital market “ from falling. But will the whole world regain resilience right away ? Let’s stay calm and carry on.

First let’s look at the latest chart - cumulated infections in US vs Dow Jones Index .

Back to my forecast on 3/20 , there was strong negative correlation of US injection and DJI (shown below),but the logic and the market has been tortured by these tremendous actions , the chart lines start to move in the same direction...it’s like a run and catch game now .

I never doubt the power of Fed and US politicians to save out the market ,eventhough they always do so through expanding Balance Sheet and Financial Institutions. I believe there is still a long journey ahead to recover and it depends on our ability to behold and cage the virus , which is the true enemy in this battle.

Today will not indicate any forecasting,  but i foresee  - We will Win.

P.S.  Original article on 3.20 could be reached via below link.

https://mp.weixin.qq.com/s/vz-FcRKsYp6ILp6HMpYBDg