9 of the Last 10 Nasdaq Corrections Ended Higher in 6 Months. Will the Fed Allow It?

The Nasdaq Composite dropped 5.52% to 24,315 on Thursday, falling into correction territory. Historical data indicates that nine of the last ten corrections ended higher six months later, averaging a 17.03% gain, with 2022 being the sole exception due to persistent Fed tightening. Traders currently assign a 68.1% probability to a December rate hike, down from 82.7% previously. The upcoming October jobs report, expected to show 65,000 new jobs and a 4.2% unemployment rate, will serve as a critical test for the Fed's policy path.