Six months swooning—stocks’ 2022 slump has persisted that long, fully doubling market corrections’ typical duration. What makes this slide so tenacious? Many blanche that question as unimportant, presuming it is instead a bear market. And, it is, officially, being down more than 20% from the peak. But the difference between being down 24% as I write and 18% in the stock market can be a couple of days and is a distinction without great significance in markets as volatile as equities commonly are. To me, this decline stills seems more like an oversized correction than a bear market—a bit like 2020’s bear, just different in three ways—smaller, duration and what I think is causing the duration. A big long bear requires other juice.
Read Full Article »
