The rebound in equities continued on Wednesday but this is still not a buyable bottom for stocks. The move came despite some hawkish commentary from Fed Chief Jerome Powell who says the committee is committed to taming inflation. In his view, price stability is of the utmost importance to the economy which should be translated as "aggressive interest rate hikes are on the way". The scariest part of the commentary was his opinion a recession was possible. Given the lagging nature of the Fed's stance, we take this to mean a recession is already underway and it may be a bad one.

Thursday could be a wild ride for the market. Comments are due from at least four Fed members and any one of them could up the stakes for the economy. As it stands now, the odds of a recession are very high, the only question is how long deep will it be and how long will it last?