We are seeing considerable volatility…quite normal as again the FED should rise interest this time (80% of chance if you look at bonds).
Definitely an incredibly stupid moment to sell bond now (you never do it before Xmas/holiday in general) or near an important Fed decision..u just get lower prices.
So where is Santa…well still in Finland (joke). The rally most probably will start after the 18th.
The market is now particularly prone to accidents before the 18 (say a terrorist attack or if the Russian decide to help the Iraqis expel the Turkish troops in Iraq).
Apart the scaremongering the initial rising rates are positive for the market.
But definitely we need to get used to more volatility.
So even if tomorrow markets will be up (oversold now) expect volatility for a while.
And with banks stalled by capital rising and mining in crisis…better look overseas.
investorpolitico 