Welcome back to Verified Investing! In today’s video, Chief Market Strategist Gareth Soloway dives deep into the latest moves in the S&P 500 and other major asset classes. After predicting the exact bottom that led to a massive 7.4% bounce in the S&P 500, Gareth explains why this current stock market rally might just be a classic "retrace to the scene of the crime." Are we setting up for a major institutional trap?
We look closely at the charts, mapping out the critical parallel channels that have dictated every major pivot low and high since 2020. With the S&P 500 now hitting major resistance and institutions potentially dumping into retail FOMO, the bias is aggressively shifting back to the downside.
But it's not just technical analysis. Gareth breaks down the massive macroeconomic headwinds threatening the global economy right now. We discuss the current spike in oil prices (hovering near $99 a barrel) and what this means for inflation over the next 3 to 6 months. With fuel prices slated to stay "higher for longer," the Federal Reserve will find it exceedingly difficult to cut interest rates.
Furthermore, the consumer is already flashing massive warning signs. We explore the $2 trillion private credit market debt, spiking auto loan delinquencies, and a dramatic rise in 90-day late payments on credit cards. When you combine an already exhausted consumer with soaring gas prices at the pump, the recipe for an economic downturn is clear.
Gareth shares his timeline for a likely global and US recession hitting late 2026 into early 2027, explaining why the S&P 500 is ultimately heading much lower. For those looking to protect their portfolios and capitalize on smart money moves, this is a must-watch breakdown.
Video Length: 00:10:10
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