December 14, 2022

By Nigam Arora & Dr. Natasha Arora

To gain an edge, this is what you need to know today.

Terminal Rate

Please click here for a chart of long bond ETF TLT.

Note the following:

• Investors need to filter out the noise and focus on what is important.  We have repeatedly shared with you that there are three important keys to this market:
  • The terminal rate
  • How long the Fed keeps interest rates at the terminal rate
  • Earnings and earnings projections
• The foregoing is for the longer term.  In the short term, the momo crowd is often in control.  For this reason, all investors need to pay attention to the momo crowd.