Volatility, Volume Picks Up as Markets Gyrate

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On the list of volatile things to trade, the S&P and Nasdaq futures have always been near the top. But now the Magnificent 7 and the millions of options that trade every day are adding an entirely new dimension of volatility. I have to ask you a question: Do you have any anxieties due to what's going on in the world and the US economy? I do because it's become almost impossible to plan out the next 10 years. Can the markets just keep going up and up with no fear? 

One thing we do not need to fear is the Fed rate cuts, which have been put off till later in the year — if at all. Powell said rate cuts won’t be warranted until officials have “gained greater confidence that inflation is moving sustainably lower.” The bottom line is, the Fed isn’t doing anything to reduce the debt loads.

Today, the Fed uses its tools to control the supply of money to help stabilize the economy. When the economy is slumping, the Fed increases the supply of money to spur growth. Conversely, when inflation is threatening, the Fed reduces the risk by shrinking the supply. It's another negative that the markets are totally overlooking, but that doesn't matter either.