"Classic" Dip and Rally on Jackson Hole — Opportunity Tonight?
@Tiger_comments:
The Jackson Hole symposium is an annual meeting for central bankers.Market is awaiting Powell’s speech at Jackson Hole meeting on Friday. Since 2022, it has consistently triggered volatility in $S&P 500(.SPX)$ . Typically, the index drops around the event before bouncing back.Each year it dips, then rebound2022 Powell went full hawk → S&P dropped -3% in a day2023 Still tough on inflation → markets slipped2024 Even with a dovish tone → market still dippedUnlike the recent market pullback, investors are very optimistic about a rate cut in September.Although the July CPI report contained some concerning details, overall it was relatively mild, reinforcing traders’ belief that the Fed will lower interest rates in the coming months. Some have e