Earlier today, we found out that the initial reading of Q2 GDP came in at 4%. Does this really matter? Not really, because Q1 GDP was revised so many times that the initial reading and each subsequent reading is nothing more than just another blip on the radar. Q1 GDP was revised again today to negative -2.1% which was better than the last revision of -2.9%. Every prior reading was way “off” and it feels like GDP is trading like a penny stock (all over the map).
Then in the afternoon, we found out that the Fed tapered by another $10B and will continue its easy money stance as planned despite Q2’s much stronger than expected 4% reading. Only one word comes to mind FUGAZE. That’s why before I buy or sell anything, I pay attention to the market first and everything else second.