Perspective: The S&P From The Bleachers

A 1.3% pullback in two days sure raises some eyebrows, but it should also evoke some feelings of deja vu.  We’ve seen two similar pullbacks in May, as well as a nasty one in late March.  No question that interest rates are the story of the day, and they do matter.

Tony Crescenzi made a very prescient comment a while back about how rising rates will matter if the perception of causation shifts from “No Recession.  We can raise rates” to “Yikes, Inflation!  Higher rates.”

Tough to know how this story will end, but at least you know what the story is.  Be mindful of the first two lines of the poem “If…..” by Rudyard Kipling.

Have a good day!

–Fitz