Market is acting sickly right now. Didn’t hold the overnight retracement. Europe closes in a few minutes so we will see what happens.
I have no guess as to this afternoon. Could go either way.
As Nassim Taleb, author of The Black Swan (2007) tweeted this morning:
“Can someone explain to me why it is “irrational” to stock up on nonperishables (such as toilet paper) when interest rates are nearly zero ?”
The market is a powder-keg ready to blow at 22 times earnings, when many leading stocks are trading at 100 times earnings or more.
One the reaction begins, it becomes self-sustaining. The corona virus could disappear tomorrow, but now everyone is worried about oil prices and ultra low interest rates.