The models are broken
The market is trying to get back to the pre-Covid and pre-war times, but that model is broken. A new dawn is here and the financial world needs to adapt.
Steen Jakobsen,
Chief Investment Officer
Head of FX Strategy
Summary: Market direction today is highly contingent on the post-FOMC meeting narrative, as the latest round of US jobs and earnings data and ISM non-manufacturing either supports or casts doubt over the market’s interpretation of the “less dovish” Fed narrative.