"Panic-like Selling Emerges Monday As Stock Market Tumbles and Dow Skids Over 1,000 Points"

"Panic-like Selling Emerges Monday As

 Stock Market Tumbles and Dow Skids Over 1,000 Points"

Last Updated: Jan. 24, 2022 at 12:32 p.m. ET

- https://www.marketwatch.com/

Market Data Center - Live Updates:

- https://www.marketwatch.com/market-data

As the FED frantically buys everything in sight...

CNN Fear And Greed Index:

- http://money.cnn.com/data/fear-and-greed/

○

"What A Week. And What a Weekend!"

by Bill Bonner

"The Nasdaq is off to its worst start since 2008. Back then it fell 13.6% in the first 14 trading days of the year. By Friday’s close it was down over 11% year-to-date here in 2022. If things keep tracking this way, it will be the worst January since the inception of the index in 1971, according to Dow Jones Data.

Will Bitcoin save you? Maybe in the long-run. But in the short-run, the world’s biggest cryptocurrency is down 23.6% year-to-date and over 50% from its high near $70,000 last year. This kind of volatility is nothing new for speculative assets, although it IS unusual for an asset whose supporters claim it is also a store of value.

There is plenty of pain to go around. Look at the chart below, sent by our colleague Dan Denning over the weekend. Warren Buffett (the compounding tortoise) has caught up with Ark Invest’s Cathie Wood (the hare) and her racy Ark Innovation ETF (ARRK).

Click image for larger size.

Both Buffett and Wood are still up since the beginning of the pandemic in the first quarter of 2020. Both benefited from the Fed’s war against normalcy… with a huge expansion in the Fed’s balance sheet and much lower interest rates. The big question now is: what next?

If it’s a ‘super bubble,’ as Jeremy Grantham, the 83-year old founder of Grantham Mayer van Otterloo, says, the major indexes may fall by 50% or more. Grantham’s math is roughly the same as ours. About $35 trillion in ‘wealth’ will be wiped out.

In other words, the real bear market hasn’t even begun. Real bear markets last months and years, not days and hours. And by the time they’ve done their work, no one is trying to find the bottom any more. At the bottom of a bear market, no one wants to talk about innovation, NFTs, or decentralized finance."

- bonnerprivateresearch@substack.com

○

"Inflate or Die"