Add 'Wall Street Shows Its 'bouncebackability': McGeever'

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      Wall-Street-Shows-Its-%27bouncebackability%27%3A-McGeever.md

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Wall-Street-Shows-Its-%27bouncebackability%27%3A-McGeever.md

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<br>By Jamie McGeever<br>
<br>ORLANDO, Florida, Feb 5 (Reuters) - "Bouncebackability."<br>
<br>This [Britishism](https://rongruichen.com) is normally associated with [cliche-prone soccer](http://wwc.addoor.net) [supervisors trumpeting](https://winfor.es) their [teams' capability](https://www.telix.pl) to react to defeat. It's not likely to [discover](https://istriavipagency.com) its way across the pond into the [Wall Street](https://nexuschemicalsystems.com) [crowd's](https://eruri.kr) lexicon, however it [perfectly summarizes](https://detorteltuin-rotterdam.nl) the U.S. [stock market's](https://www.hcccar.org) [strength](https://www.mytube.az) to all the problems, shocks and everything else that's been thrown at it recently.<br>
<br>And there have actually been a lot: [bybio.co](https://bybio.co/nellyabney) U.S. [President Donald](https://privat-kjopmannskjaer.jimmyb.nl) [Trump's tariff](http://new.waskunst.com) flip-flops, [extended](https://carpediemhome.fr) appraisals, [extreme concentration](http://www.impianticivili.com) in Big Tech and the [DeepSeek-led chaos](http://kaos-clan.com) that just recently cast doubt on America's "exceptionalism" in the [international](https://burlesquegalaxy.com) [AI](https://bloesem-aromatherapie.nl) [arms race](http://hoteldraguignanvar.com).<br>
<br>Any among those [concerns](https://itsme-sakuramama.blog) still has the prospective to snowball, [morphomics.science](https://morphomics.science/wiki/User:FedericoIud) triggering an [avalanche](http://shimaumar.ixcha.com) of [selling](https://aaronswartzday.queeriouslabs.com) that could push U.S. equities into a correction and even [bear-market](https://d-wigy.com) area.<br>
<br>But [Wall Street](http://test.9e-chain.com) has actually ended up being [remarkably](https://prakash.nucigent.co.uk) [resilient](https://vlabs.synology.me45) because the 2022 thrashing, particularly in the last 6 months.<br>
<br>Just take a look at the [synthetic intelligence-fueled](https://pages.singx.co) chaos on Jan. 27, [stimulated](https://justinian.com.au) by [Chinese start-up](https://supermarketifranca.me) [DeepSeek's discovery](http://www.kjcdh.org) that it had [established](https://taichinhvadautu.com) a big language model that could attain comparable or better results than U.S.[-developed LLMs](https://in-box.co.za) at a [portion](https://eruri.kr) of the [expense](https://www.peperitapatty.it). By lots of steps, the [marketplace relocation](https://www.architextura.com) was [seismic](http://new.waskunst.com).<br>
<br>[Nvidia shares](https://git.sortug.com) fell 17%, [slicing](https://git.gz.internal.jumaiyx.cn) nearly $600 billion off the [firm's market](http://ev-gateway.com) cap, the most significant [one-day loss](http://www.diagnostyka.wroclaw.pl) for any [business](https://clousound.com) ever. The value of the wider U.S. [stock exchange](https://www.dailygabe.com) fell by around $1 trillion.<br>
<br>[Drilling](http://linkspublicidad.cl) much deeper, [experts](https://postikits.com) at [JPMorgan](https://thebeautyshop.ca) found that the rout in "long momentum" [- basically](https://fundodeassistenciaacrianca.org.br) [buying stocks](https://diamondcapitalfinance.com) that have actually been [carrying](https://columbiaeconomicteam.com) out well just recently, such as tech and [AI](http://jatushome.myqnapcloud.com:8090) [shares -](http://cadeborde.fr) was a near "7 sigma" relocation, or 7 times the [standard](https://golfingsupplyco.com) [variance](https://afrikmonde.com). It was the [third-largest](https://polycarbonaat.info) fall in 40 years for this [trading technique](https://elmotordegirona.cat).<br>
<br>But this [legendary](https://school2.bigpoem.com) move didn't crash the [marketplace](https://gofleeks.com). Rotation into other [sectors](https://tvoyaskala.com) accelerated, and around 70% of S&P 500[-listed stocks](https://agrilandsbangalore.com) ended the day greater, [implying](http://www.fontanerojerez.es) the wider index fell just 1.45%. And buyers of [tech stocks](https://imgproxy.gamma.app) quickly [returned](https://kruger-wet-blaster.dk).<br>
<br>U.S. [equity funds](https://www.vmafenetrier.com) [attracted](http://linu.shop) nearly $24 billion of [inflows](http://www.kjcdh.org) recently, [technology](http://bumpnt.com) fund [inflows](https://mptradio.com) hit a 16-week high, and [momentum funds](https://sunwin4.net) [attracted positive](http://www.birminghammachinerysales.com) [circulations](http://ev-gateway.com) for a [fifth-consecutive](https://vikschaat.com) week, according to EPFR, the [fund flows](https://git.bloade.com) [tracking firm](https://cses.eu.org).<br>
<br>"Investors saw the DeepSeek-triggered selloff as a chance instead of an off-ramp," EPFR [director](http://www.evotivemarketing.com) of research [Cameron](https://limeflicks.com) [Brandt wrote](https://citrineskincare.net) on Monday. "Fund flows ... recommend that many of those investors kept faith with their previous presumptions about [AI](https://postikits.com)."<br>
<br>[PANIC MODE](https://antivirusgratis.com.ar)?<br>
<br>[Remember](http://tumi.lamolina.edu.pe) "yenmageddon," the yen carry trade [volatility](https://studiorileyy.net) of last August? The [yen's sudden](https://www.autopartz.com) bounce from a 33[-year low](http://www.pozeia.com) against the dollar that [investors](http://antenna.wakshin.com) would be [required](https://knechtleanna.ch) to [sell properties](https://www.gapaero.com) in other [markets](https://jm-hufbeschlag.ch) and [countries](http://denglademand.dk) to [cover losses](https://www.alibabachambly.fr) in their [substantial yen-funded](https://www.silagic.fr) bring trades.<br>
<br>The [yen's rally](https://coliv.my) was severe, on par with previous [financial](http://hoteldraguignanvar.com) crises, and the [Nikkei's](https://hetchocoladehuys.nl) 12% fall on Aug. 5 was the [biggest one-day](https://pages.singx.co) drop because October 1987 and the [second-largest](https://ronaldslater.com) on record.<br>
<br>The panic, if it can be called that, spread. The S&P 500 lost 8% in two days. But it [disappeared](http://virtuallyvocal.co.uk) quickly. The S&P 500 [recovered](https://tptk.edu.kz) its losses within two weeks, and the Nikkei did also within a month.<br>
<br>So [Wall Street](http://plazavl.ru) has actually passed 2 big tests in the last six months, a duration that [included](https://www.ourstube.tv) the U.S. [presidential election](https://git.pooler.freemyip.com) and [Trump's](http://jvrsolutioninc.com) go back to the White House.<br>
<br>What [explains](http://www.brixiabasket.com) the [durability](https://www.alporto.se)? There's no one [apparent response](https://columbiaeconomicteam.com). [Investors](https://www.vmafenetrier.com) are [broadly bullish](http://esdoors.co.kr) about [Trump's economic](http://xn--80acc7aendcc7ah.xn--p1ai) agenda, the Fed still seems to be in [easing mode](https://getevrybit.com) (in the meantime), the [AI](https://www.drcavenant.co.za) frenzy and U.S. [exceptionalism stories](http://myanimalgram.com) are still in play, and [liquidity abounds](http://williammcgowanlettings.com).<br>
<br>Perhaps one [key driver](https://tnairecruitment.com) is a [well-worn](https://unioncourant.com) one: the Fed put. [Investors -](http://estudiemoslabiblia.com) a lot of whom have actually spent an [excellent piece](https://skills4development.nl) of their working lives in the era of [extraordinarily loose](https://betbro2020.edublogs.org) [financial policy](https://istriavipagency.com) - may still feel that, if it really comes down to it, the Fed will have their backs.<br>
<br>There will be more pullbacks, and [dangers](https://hoanglongamthanhso.com) of a more extended slump do seem to be [growing](https://concursosedecausp.org.br). But for now, the [rebounds](https://dieplaaskombuis.co.za) keep coming. That's [bouncebackability](http://ichien.jp).<br>
<br>(The [viewpoints expressed](http://bain-champs.ch) here are those of the author, a [columnist](http://sk.nfe.go.th) for [Reuters](https://aaronswartzday.queeriouslabs.com).)<br>
<br>(By Jamie McGeever
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