{"id":23878,"date":"2024-04-05T11:10:03","date_gmt":"2024-04-05T11:10:03","guid":{"rendered":"http:\/\/wp.todaytradenews.com\/2024\/04\/05\/behind-this-weeks-selloff-and-what-could-cause-it-to-turn-into-a-full-blown-correction\/"},"modified":"2024-04-05T11:10:17","modified_gmt":"2024-04-05T11:10:17","slug":"behind-this-weeks-selloff-and-what-could-cause-it-to-turn-into-a-full-blown-correction","status":"publish","type":"post","link":"http:\/\/wp.todaytradenews.com\/2024\/04\/05\/behind-this-weeks-selloff-and-what-could-cause-it-to-turn-into-a-full-blown-correction\/","title":{"rendered":"Behind this week&#8217;s selloff and what could cause it to turn into a full-blown correction"},"content":{"rendered":"<p>The article discusses the recent drop in the S&#038;P 500 index and the factors contributing to it, such as the prospect theory from behavioral economics, President Joe Biden&#8217;s call for a ceasefire in Gaza, and Neel Kashkari&#8217;s comments on potential rate cuts by the Federal Reserve. It also delves into the stability of the S&#038;P 500 despite the recent decline, and the potential reasons that could lead to a more significant drop in the market, including economic decline, interest rate spikes, or unexpected shocks.<\/p>\n<p>Three highlights from the article are:<br \/>\n1. The concept of prospect theory in behavioral economics, which explains how the pain of a loss is greater than the expectation of a gain.<br \/>\n2. President Biden&#8217;s call for a ceasefire in Gaza and the impact of geopolitical tensions on the market.<br \/>\n3. Neel Kashkari&#8217;s speculation about potential rate cuts by the Federal Reserve if inflation remains stagnant.<\/p>\n<p>In summary, the article discusses the recent drop in the S&#038;P 500 index, the factors influencing it, and the overall stability of the market despite the decline. It also outlines potential scenarios that could lead to a more significant drop in stocks and highlights the commonality of market pullbacks of 10% or more.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The article discusses the recent drop in the S&#038;P 500 index and the factors contributing to it, such as the prospect theory from behavioral economics, President Joe Biden&#8217;s call for a ceasefire in Gaza, and Neel Kashkari&#8217;s comments on potential rate cuts by the Federal Reserve. It also delves into the stability of the S&#038;P [&hellip;]<\/p>\n","protected":false},"author":32,"featured_media":23883,"comment_status":"closed","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[647],"tags":[13053,94,124,14627,112,1469,157,103,588,144,146],"_links":{"self":[{"href":"http:\/\/wp.todaytradenews.com\/wp-json\/wp\/v2\/posts\/23878"}],"collection":[{"href":"http:\/\/wp.todaytradenews.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/wp.todaytradenews.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/wp.todaytradenews.com\/wp-json\/wp\/v2\/users\/32"}],"replies":[{"embeddable":true,"href":"http:\/\/wp.todaytradenews.com\/wp-json\/wp\/v2\/comments?post=23878"}],"version-history":[{"count":0,"href":"http:\/\/wp.todaytradenews.com\/wp-json\/wp\/v2\/posts\/23878\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/wp.todaytradenews.com\/wp-json\/wp\/v2\/media\/23883"}],"wp:attachment":[{"href":"http:\/\/wp.todaytradenews.com\/wp-json\/wp\/v2\/media?parent=23878"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/wp.todaytradenews.com\/wp-json\/wp\/v2\/categories?post=23878"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/wp.todaytradenews.com\/wp-json\/wp\/v2\/tags?post=23878"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}