Market Outlook March 12th 2023

High level of uncertainty

Important: this is not investment advice. Consult a licensed financial advisor before making any investment decision.

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Hi! My take on the US stock market.

Friday was a panic-like session following the concerns around the Silicon Valley Bank collapse.

Check the link if you want to know more… basically, the 10th biggest bank in the US collapsed and many people and most businesses cannot access their accounts and money.

If the US government and the FED don’t do something before the market opening next Monday things may get really bad.

My take in a nutshell: the credit tightening that has been led by the FED has started to “break things” in the real economy. This will make the FED become more cautious about keep raising rates too fast (already done!) and lead the economy to a crash.

With all this uncertainty my take is that we’ll need some more months to better understand where all the rate hikes will lead the economy to.

Is all lost?

One of the best learnings for me is that the economy and t…