The S&P 500 index fell by more than 19% from its maximums in 2021. The crisis has not even begun, and the index is already falling. If we leave below 3800, this means falling more than 20%, which transfers us to the "bear" market. After crossing this support, sales can be intensified and probably in the near future we can see 3500-3000 levels.

It is likely that from the level of 3800, a significant rebound of the market, 7-10 percent, can follow, but then there will be a continuation of fun.

The market also assessed the situation with additional humanitarian aid to Ukraine in the amount of $ 40 billion. The US crazy spending on Ukraine can lead the country to financial collapse and still quickly push the country's economy to recession.

J. Powell from the Fed said he did not expect a deep recession. So expects shallow?

Analysts revise their forecasts.

Goldman Sachs: We lower the forecast for S&P 500 at the end of 2022 from 4700 to 4300 points due to high rates and slow economic growth

Morgan Stanley: Technical Support S&P 500 is expected near 3400 points, and the last US stocks are a bear market rally. Even in a year, the market will not return to the current values.

Bank of America: S&P 500 can reach 3000 points by October 2022

Jeremy Grentham, financial historian and founder of the GMO fund with $ 160 billion assets generally predicts that SP500 will decrease to 2500 points.

Take 2020 and the Apple campaign that cost $ 56 in March 2020. Two years passed and it raised in price until 184; those. almost 250%. The question is why 2.5 times in two years, and say not 80%? Why 250%?

Fair or is it the price?

I wonder why Walmart and Target have no buyers, but does this action have?

And who bought, for example, Crox in 180, when he cost 10 in March 20? Who ?

A similar situation with Mara and other shares.

Any action that has grown by hundreds of percent or several times, for no reason, or even with them, is doomed to serious correction, like the market itself.

Maybe when the price of some shares drops to fair values, inflation will really fall.

More or less fair prices for shares were precisely in March of the 20th year. Given the inflictions of the Fed, you need to add 20-30% per annum to this cost and get the real value of any action with a gross calculation. I recommend to see the division video

Dear readers, if you liked this article, please subscribe to the channel and like it!

#USA #America #investment #stock market #recession #S&P 500 #Apple #Finance