Trading Opportunities: Beating the Bears As We Approach Q4 The SP 500 dipped back into bear market territory last week, but the bottom hasn’t fallen out… at least, not yet. In last week’s livestream , we explored the fallout from the Fed announcement and looked to speculate future Fed action as the rest of the year progresses. We also examined the Fed’s updated economic projections going all the way out to 2025, which pointed to an economic slowdown. Whether that happens remains to be seen, but it’s hard to look on the bright side when investors seem to have such a negative outlook. Pain Across the Pond The Bank of England raised its target rate by 50 basis points (0.5%) last week. However, traders are convinced the bank will have to do it again to counteract a new tax-cut|stimulus plan created by the new prime minister’s government. Bond traders see the need for a much larger hike to stem the decline of the pound and to control inflation. This is a problem for the markets. Basically, Liz Truss, the new PM, plans to cut taxes, which means the BOE will have to raise rates faster than anyone was planning on, and the economy could slow faster than expected.