Need to Know: These two commentators who have been warning of a market crash say it’s now here

by | Oct 26, 2023 | Stock Market

More gloom from the tech sector — this time from Meta Platforms — is combining with continued pressure on Treasury yields to spark talk of a Red Thursday, or stock selloff, to come. Tech is again set to lead the way lower after the Nasdaq Composite fell into correction territory on Wednesday. Hopes are now hanging on to belt out some good news after the close. Ahead of that GDP data came in right near 5%, thought that may not stave off a recession.

Our call of the day comes from a pair of money managers who have been banging the table about a crash brewing for this market, and are warning even louder now. They are warning investors to get prepared. The pair are Michael Gayed, a portfolio manager at Tidal Financial who offers trading strategies via the Lead Lag Report, and Michael Kramer, founder of Mott Capital Management. They posted a discussion on Wednesday that spoke of an “imminent market crash.” “What we’re seeing in Treasurys should make a lot of people nervous. I’ve never seen anything like it, and I’ve been following this market since the mid-90s,” said Kramer, who recently discussed how the new bull market was already over. In their chat, Kramer told Gayed that it makes sense to see Treasury yields this high, given the Fed jacked up interest rates 500 basis points and the market tried to get ahead of the Fed each time it expected a rate hike. When the Fed started to “mess around with slowing rate hikes,” hinting of a pause and the market tried to second guess that as well. He said the surge in T …

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