It would be panic at the disco if the Fed emergency rate cuts. The assumption will be that they know something terrible is about to happen that is not known to the market, and the market will turn into an all out fire sale in stocks and all out panic buying in treasuries, bonds, etc. BTW, the VIX is now above 58. We haven't seen that since October 2008.
If Oil price fall by another 15 to 20$ around $60/barrel. Fed cut is almost certain. But along with market fall by 20-25%, we can easily expect 300bps rate cut
They said the same panic shit when we first waited to raise rates. Look at the data and make a decision based on inflation/unemployment, not the financial markets.
So a key issue driving this is the carry trade by some people trying to make someone money on an interest rate arbitrage with exchange rate risk. Why should Jerome Powell bail out those numbskulls? If they blow up, then let them blow up. The market will bounce back because none of this actually relates to the fundamentals of businesses, just a bunch of traders.
I feel investors should be focusing on under-the-radar stocks, and considering the current rollercoaster nature of the stock market, Because 35% of my $270k portfolio comprises of plummeting stocks which were once revered and i don't know where to go here out of devastation. .
Personally I’ve always felt the fed was doing way too much. The economy was not doing well and has not been for years. A cut was needed multiple meetings ago. This situation is more validating than scary to me
Excuses excuses, just can’t admit neither you nor your guests know what you’re talking about. If you even had any credibility after the blown 2008 call you just lost it.
