First you go low on high volume, then you go high on low volume.
That's one of the tricks "THEY" do when "THEY" want to reel in retail suckers to take stocks off their hands at high prices. Keep the headliners like Apple (AAPL) rolling up the market while doing massive selling like we saw into Friday's close – a 100-point drop in the S&P 500 (3.2%) during the trading session but then a 60-point "recovery" when the markets closed and there was no volume – a time when it's MUCH easier to manipulate the markets, as well as the news.
Yes, we used to only have to worry about fake Financial News, the kind Jim Cramer boasts about routinely placing in this video. As Cramer says, if you are running a hedge fund and you are not manipulating the markets – you're just not doing your job. If you think that's not true today – just look at that action on the S&P and read the headlines of SOME papers and you tell me if we're still being manipulated or not.
Does what you hear about the markets and the economy make sense when you walk on empty streets and eat in empty restaurants? Will it makes sense when we get those quarterly reports for Q2? Does it make sense when you look at the Atlanta Fed's GDP Now forecast, that shows Q2 (the one we just finishing next week) GDP is projected to be DOWN 45.5%.
I know not all of you are Economists but I'll save you 2 years of graduate school by saying down 45.5% is BAD! What's also bad is that the average range of pundits is more like -35% so the public is in for a big disappointment if the Atlanta Fed is right and the random idiot on TV is wrong.
We get the final GDP Report for Q1 on Thursday (8:30) and that will be down 5% with Consumer Spending down 6.8% and that only reflects the last two weeks of March when we were locked up (hey, Trump did it, he locked us up like he promised!). If we were down about 50% for two weeks and the other 10 weeks of the quarter we…