Weekly Market Outlook: Federal Reserve Rate Decision and Market Corrections in Focus

All eyes are back on the federal reserve rate decision this week. With last weeks inflation numbers coming in slightly higher than expected investors are getting anxious as to what the fed might do. Either way, we know markets don’t just go straight up and we have had this mid March window highlighted for some time now.

The S&P has corrected after running up 19 weeks. Equal to the previous run from the March low to the July 2023 high which we talked about last week. We still have not reached the extreme sentiment phase that is needed in order for a steep decline. Therefore, I continue to believe that corrections may be short lived. If we study previous times that the S&P has broken out to new all time highs we can see that the market usually begins a sort of grind up after the initial violent move.