Bloomberg Intelligence's 'Equity Market Minute' 2/24/2022

The video discusses the current state of the S&P 500, highlighting broken price supports and potential short-term weakness. Despite this, a fundamental fair value model remains optimistic if growth prospects hold. Technical analysis suggests a head and shoulders pattern, indicating possible further declines. The base case scenario predicts valuation compression due to Fed policy but expects earnings growth to counterbalance. Oil prices are crucial for growth, with high prices potentially limiting spending. The video concludes with a summary of these insights.

What does the fundamental fair value model suggest about the S&P 500?

• It indicates a permanent downturn.

• It suggests immediate recovery.

• It remains optimistic if growth prospects are stable.

• It predicts a long-term decline.

What technical pattern is discussed in relation to the S&P 500?

• Head and shoulders topping formation

• Cup and handle pattern

• Double bottom formation

• Ascending triangle pattern

What is the potential correction percentage for the S&P 500 mentioned in the video?

• 25%

• 15%

• 20%

• 10%

Which factor is highlighted as crucial for the growth outlook?

• Real estate values

• Gold prices

• Oil prices

• Cryptocurrency trends

How might high oil prices affect consumer and business behavior?

• Decrease spending

• No impact on spending

• Lead to increased savings

• Increase spending