The Fed and Jerome Powell: How Wall Street is being turned into a gigantic casino

The Fed and Jerome Powell: How Wall Street is being turned into a gigantic casino

According to a report by finanzmarktwelt.de,

The US stock markets are more overbought than they have been in years, and the big decline with gigantic volume is imminent. Volatility is guaranteed as a new call options record was set yesterday. The Fed has turned Wall Street into a casino where those who bet on ever-rising prices always win. This can work well until it no longer works well. In addition, the Fed has effectively given up the fight against inflation and will stoke it again. The question arises whether the US Federal Reserve is afraid of a recession in the election year.

The ECB Governing Council largely agrees that it will ease restrictions later than the market expected. Hedge fund manager Gundlach predicts that a lot of money will have to be printed.

These developments indicate that financial markets will continue to experience high levels of volatility and instability. The overbought nature of the US stock market, coupled with the policies of the Federal Reserve and ECB, creates the risk of an overheated and potentially crashing market environment. It is therefore strongly recommended that investors diversify their portfolios and spread their risks to protect themselves from the potential impact of this situation.