KKM's Deming Expects U.S. Stocks to End the Year Higher

Dan Deming from KKM Financial discusses recent market volatility, noting a significant downturn followed by a recovery. He analyzes the SPX, predicting a potential 4% pullback to the 275 level, which aligns with the 200-day moving average. Deming highlights the bond market and Japanese yen as indicators of market sentiment, suggesting a cautious approach. He anticipates continued volatility but believes markets will trend higher if central banks maintain accommodative policies. Deming also discusses trading strategies like risk reversals to navigate current market conditions.

What was the market situation described as the worst week of the year?

What level is mentioned as a significant point for the SPX or SPY?

What are the indicators mentioned that suggest a possible pullback in the market?

How does the bond market relate to the current market sentiment according to the discussion?

What strategy is suggested for managing risk in the current market conditions?