Higherer for Longerer

If you find yourself crying in the shower after yesterday... that might be a bit much. However, the reaction to the SEP dot plot released as part of the FOMC's interest rate decision certainly revealed one thing: they really weren't kidding about higher for longer.

The dot plot showed that the Fed plans to hold rates at this level for an additional quarter in 2024, pushing back on what the Fed futures market was betting on--rate cuts in Q2 2024. I mean, they've only been banging the "higher for longer" drum for a while now, but no one took them seriously. Maybe they will now. Who knows, I'm not that smart nor am I in charge of billions and billions of dollars. What did that do to the markets? "Alexa, play Fall Out Boy 'Sugar We're Goin Down.'"

The freefall continued in the overnight session, even after the Bank of England also indicated that they were likely done with rate hikes on the back of better than expected inflation data. Are we back in yet another era of good news is bad news? We'll need some more data to find out for sure, but maybe. We are getting close to that dreaded month of October, when if there's going to be chaos it tends to happen. I'm not personally convinced, but it's worth keeping an eye on and having plans for all eventualities, as always.

Here are the NQ levels for today:

Current Price: 14490

Upside Targets: 15020, 15075, 15160, 15225

Downside Targets: 14975, 14920, 14865, 14820

Stretch Targets: 15275, 14740