“As all asset prices adjust to a new and maybe not-so-positive environment,” there’s “a risk that volatile and declining markets can lead to market panic.”
It’ll take many more sell-offs and the collapse of many more iffy stocks before this over-enthusiasm, after nine years of central bank nurturing, is finally wrung out of the market.
It was an ugly week. Everyone blamed the “trade war.” But bull markets climb a wall of worry. In a bull market, stocks would have jumped on the news. So what the heck happened?
