No matter what the fundamental reason of the day, week, or month is, bearish investors often highlight two different charts that help confirm their negative view on stocks.countered that bears get it all wrong with those two charts because they fundamentally don't understand what drives the stock market higher: corporate profits.
Now that the Fed is reducing its balance sheet by nearly $100 billion on a monthly basis, stocks are due to fall, or so goes the bearish thinking. But as long as corporate earnings continue to grow, the stock market can rise in the face of a declining Fed balance sheet, as it did in 2017 and 2019.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more: