The drums are beating even louder by those orchestrating the move lower in the stock market.  Buyers have the luxury of waiting and joining those beating the drums.

The numerous headlines and articles labeling inflation data, which came ten basis points above consensus, as “hot” and “hotter” were outrageous.  I think the aim is to make the public accept higher prices and, in part, create an inflationary scenario that is not baked in.

It’s nefarious stuff.

Some firms, such as Goldman Sachs, have increased their recession calls to 35% from 20%. It is still a considerable distance from 100%, but this figure is likely to be misreported again.

The current economic system is hugely beneficial to those who control the narrative. One of the ironies of all of this is plunging consumer confidence surveys were seen as the best buy indicators among many Wall Street experts.  They are going to pounce soon on the panic narrative.  Do not panic!

The key aspect of an emotion-driven market is, for a moment, that nothing else matters.  That said, the inability to regain the 200-day level was a significant red flag.  Now, the S&P 500 will test the recent low out of the gate. If that doesn’t hold, it could be vulnerable to 5400.