Data Dependency Leads to Market Volatility

Job numbers are significantly exceeding expectations, alongside revisions for previous months, which creates a puzzling scenario following a recent Federal Reserve interest rate cut. The Fed's approach is notably data dependent, indicating a lack of a definitive strategy, as it responds to incoming data with little foresight. This reactive stance causes market fluctuations as investors must adjust to every new data release, leading to a sense of instability and exhaustion. While this method appears unpredictable and tumultuous, it is deemed preferable to a misguided approach lacking awareness of actual economic conditions.