Every single time the Fed goes into a tightening cycle, the stock market crashes. For those who AGREE with my thesis, please let me know what you think.
Every single time the Fed contracts currency and begins some form of quantitative tightening policy, the stock market falls. This is near 100% accuracy since the inception of the Fed in 1913. Why in the world are there individuals that believe “this time is different” and that it won’t happen this time? What some of conclusions have been conjured to believe that the Fed will magically be able to tighten their belts and somehow not create the next crisis? This is nonsensical from a historical point of view and we will eventually see why.
Ominous omen? A look at how Fed tightening episodes usually end
Wu-Xia Shadow Federal Funds Rate – Federal Reserve Bank of Atlanta
www.frbatlanta.org/cqer/research/shadow_rate.aspx?panel=1
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2s10s 12.1.jpg (890×381)
www.zerohedge.com/sites/default/files/inline-images/2s10s%2012.1.jpg?itok=MHhThw77
