Yesterday, about half an hour prior to the close of the US stock market, President Donald Trump made a very aggressive challenge to the rhetoric coming out of North Korea which had an immediate effect on the stock market.
Yesterday just prior to President Trump's remarks on North Korea, the Dow Jones industrial average was on it's way to hit its 10th record close however, President Trump's remarks rattled the market and this is bleeding off today in early trade.
So the question is simple: is the increasing talk of war finally going to pull the Teflon off the stock market?
The short answer is no.
So why no?
That answer is also simple: there is no free market, and central banks are running the show.
I expect nothing, at least in the short run, is going to get in the way of this Teflon market as long as the Federal Reserve continues to artificially suppress interest rates propping up this market.
Yesterday's late day sell-off which is bleeding off into early trade today sparked by nothing more then "war talk" are buying opportunities in my opinion, so do not get shaken out of this market until the bombs actually start to fall...
Gregory Mannarino @marketreport
