Friday's stock market levitation to new recovery highs was compliments of the Federal Open Mouth Committee (FOMC) aka. Janet Yellen, who with one speech took back everything she'd been saying since March regarding the unlikelihood of a near-term rate hike. Stocks, which had taken everything she said that was dovish as bullish, took her speech on Friday as bullish as well aka. Manic mode.
This shows that the relationship between Fed bullshit and global risk is breaking down. Global markets are starting to ignore Police Squad.
Rule #1: Never drive forward by looking in the rear view mirror:
Why the stock market won't crash
"There isn’t a single recession on recent record that can be traced to reversals abroad. As Michael Lewis, president of Free Market, observes, “While a U.S. sneeze can give the rest of the world the proverbial flu, the reverse still doesn’t happen.”