On April 17, Powell said that strong inflation data in the first quarter brought new uncertainty to the timing and possibility of rate cuts later this year. He mentioned that if high inflation persists, the Fed will maintain the current interest rate level as needed. Nick Timiraos, a reporter for the Wall Street Journal, interpreted Powell's speech as a major shift in the Fed's outlook, following the third consecutive month of stronger-than-expected inflation data. This development seems to reduce the likelihood of the Fed taking a preventive rate cut. In addition, the futures market has adjusted its expectations for the Fed's rate cuts, and investors now expect only one or two rate cuts this year, with a total of about 40 basis points expected.

Personally, there is no need to stare at the matter of rate cuts sooner or later. There will be speculation before the rate cuts. There are many positive factors this year. This decline has washed out the unsteady chips, because every bull market will be preceded by a big drop and wash before a super bull market.