“The gap between market expectations for rate cuts this year and Fed projections—a source of both equity and fixed-income market volatility—has finally started to narrow,” stated areportby Adam Turnquist, chief technical strategist for LPL Financial. U.S. gross domestic product expanded at a...
Fed cuts key rate; banks lower primeSusan Chandler
Fed considers rate cuts
Rate cuts will only come from a slump in aggregate demand, and this can only be the consequence of a collapse in the private sector. By the time the Fed decides to cut rates, the negative impact on earnings and margins is unlikely to drive markets higher, as many expect. Fed rate cuts...
How will the U.S. dollar respond to Federal Reserve rate cuts? The factors that have supported a strong dollar for years remain largely intact.
Fed rate cuts and government spending, or both, are often necessary to recharge the economy. Eventually, the economy hits rock bottom, known as the trough, and gradually starts to recover. The business cycle then resumes with a new expansion phase....
As U.S. rate cuts near, history shows stocks and bonds often perform well after the Fed starts easing cycles, with equities showing greater variability. Given mixed economic signals, the focus should be on quality in portfolio positioning.
Goldman: "Fed Rate Cuts May Finally Bring Western Investors Back Into Gold Market" (photo credit: PR) Both gold and silver prices have experienced significant rallies in 2024. With gold trading over $2,500 per ounce, while silver has touched $32.75. ...
"A larger first move signals the Fed's commitment to staying ahead of the curve and their confidence in disinflation. We expect a series of 25bp cuts through mid-2025, with two more this year and four in 1H25." Citigroup This was a fairly hawkish 50 basis point cut, all-in-all the...
Already, market anticipation of a rate cut at the September Fed meeting has brought mortgage rates down to 6.2% last week, from 6.7% at the beginning of August. “If the Fed takes a more dovish turn, I think we could get down to around 6%,” Daryl Fairweather, chief ec...