The Fed needs to make an emergency cut, says Wharton's Jeremy Siegel 

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Personally, I think investors will start to seek more market diversification. can i confidently invest about $350k into the financial markets in 2024? I'm still not sure how rates will effect the market just yet, which worries me a lot.

The dilemma of "higher interest rate leads to expensive borrowing leads to slow economic growth" and vice versa makes it difficult to manoeuvre economic parameters. Yet the stock market isn't showing any sign of slowdown caused by a recession outlook. Investing now instead of saving would make thousands of dollars in ROI if done right.

The market is currently mirroring the 2015-16 pattern, with potential for growth, but possibly stuck in a holding pattern until the Fed indicates a rate cut. I've recently trimmed 25% of my portfolio, cutting loose underperforming stocks touted by some financial RU-vidrs, which sadly took a big hit.

If the FED cuts, inflation will come back up. So it's the 70s again. The tech stocks are overvalued junk along with the social site crap. ATP how can I restructure my portfolio of around $1M to secure my retirement.

With markets tumbling, inflation still high , the Fed imposing large interest-rate hike, while treasury yields are rising rapidly-which means more red ink for portfolios this quarter. How can I profit from the current volatile market, l'm still at a crossroads deciding if to liquidate my $400k bond/stock portfolio.

Markets look like 2015-16. Probably going back to all time highs, but will probably go sideways until fed signals rate cut, Recently sold 25% of my portfolio comprising of plummeting stocks that were recommended by certain financial RU-vidrs, quite devastating!

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Shut with the emergency cut . There is no cut that’s going to help you. It’s over no more easy money. Years of 0 percent interest rates and out of control government spending and debt is what got us in this situation. Inflation is really at 18-20 percent and unemployment is at 20 percent. We were in a recession 2 years ago now We are in a depression with stagflation.

How can a Wharton professor not understand signalling, and the terrible message that such an action would send? There is no emergency.

Call it a hunch…I’m sensing this guys long positions are not doing well.

Chill professor, the market is due for a correction because it’s been going up for the longest

Jeremy does not feel the hurt many people do having to pay more for basic food but many people are struggling to just survive because of inflation. Cutting rates will hurt them even more.

We do not need an emergency rate cut. This guy is nuts.

Chill Grandpa, chill!

Imagine a Fed run by this guy? We’d be whipsawed back and forth. Cut 100, Raise 100, etc..

Interest rates cut at this time would be the worst idea and just hurt the economy even further.

If the FED cuts, inflation will come back up. So it's the 70s again.

Settle down old man. Stock prices are vastly overpriced.

“Wahhhhh we overbought and built a ponzi wahhhhh bail us out with rate cuts wahhhhhh!”

RAISE THOSE INTEREST RATES,RAISE!!!!!!!!!!!!

emergency cut of 75 points would spook the market even more

Wait, I thought we were on a glide path to a soft landing, so why do we need 2-75bps cuts in a month?

The market isn’t exactly the economy. Don’t burn down the economy with interest rate cut just so the market can feel better.

Your explanations are clear and straightforward. It's always an honour to have you here as a mentor, I appreciate you for the time being spent to educate and update us financially. Regardless of how bad it gets the economy, I still make over $28K every single week. I truly value Lia Lorenzo and her helpful guides.

I wonder what the best opportunities to invest now are, there are opinions but a little later I find out these opinions don't matter as a totally different turn of events play out with the stocks they discussed therein...

Is this guy nuts? Rates cuts when the rates aren't high enough. 4 things pulled us out of this crap in the 60s & 70s. 1st rates where at 10-15% on average, 2nd government both fed & state dumped raw land onto the market at below market value, 3rd cut or ended many government regulations & laws both at the feds & state levels, that were stopping people from being able to start business & build homes on their property, 4th feds & states cut taxes or eliminated some taxes all together. But it has to be both feds & state governments, feds can do all the right things, but if states do the opposite then it doesn't matter.

He’s such a fear monger…I don’t see why they keep having him on?

Is that guy stupid? The reason we see this crash is because the yen gain in value relative to the us dollar. Lowering the interest rate will just make the dollar weaker compared to the yen.

"Since when has the Fed known anything about the economy!!"🤣 So true. Jeremy Siegel is the GOAT. I love his passion.

Raise the interest! We need a full scale reset

150 basis cut at a minimum? This guy must have a lot at stake. Vested interest. Fed, raise interest rates please.

Hold the line Jerome - the evaluations are the most in almost 100 years (just before 1929). Let these stocks falls like a rock and get back to normal valuations of 12X earnings and the zombie companies go under. We need to flush this out, pay the price, and we will be a better country for flushing out the waste. Just like a diet, it sucks for awhile but the results are great when you stick to it.

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We DO NOT NEED A RATE CUT. WE ARE NOT IN A EMERGENCY !!!!

The belief that the Federal Reserve would stop raising interest rates was the driving force behind the entire economic chaos. What should we do now that we have a situation where interest rates are crashing? At this point, how would you suggest that I safely allocate $300k?

Fearmongering when prior to today the S&P was still at 12% YTD. Make it make sense.

We need to hold the rate. We are not out of the inflation. Stock market is just going through price correction.

We need a good corection. The market is overvalued.

No a cut will make it way worse

Proof that wisdom does NOT come with age 😂😂

A RATE CUT WILL INTENSIFY INFLATION !!!

in what world does the market need to go up MORE? crazy talk. a rate cut will make the inflation worse and drag this out longer while they keep making more money

If the fed cuts rates now, I would get the impression the dfed cares more about the stock market and big money investors and wouldn’t be worried about the mass of middle and lower class. Rates are normalized. If they go way down with the rates here comes inflation that crushes us. But saves Wall Street from losing 10% for the next few months

This guy was calling for rate cuts 12 months ago. He's full of 💩 on 75 basis cut

Jeremy is right on the money! Should've cut 25 in June and 25 in July. They're behind now...

1 year ago VOO $414, today after the "crash" it's at $475. Chill out people.

They need to just let it go and keep lowering the inflation rate. We need deflation at this point. It's long overdue.

Raise rates. My CD rolling over!!!!

Cutting interest rates will only prolong the problem by shifting the financial burden on to the poor!!!

So glad the market ended the tantrum, now the Fed can cut in December instead of September, only 25 bp needed. We are in such great shape in the market.

If Jeremy Siegel was in charge, we’d still be dealing with high inflation rates. This guy has consistently been against the Fed at every rate hike 🤦‍♀️

Rates need to be raised actually

Andy Beshear will help in big ways. Walz is a great pick. No bs & genuine. And, a real progressive!

He is the hero, he is right

Thank God this guy isn't in charge. Wed all be paying $97 for a big mac because he'd slash the rates every time the market breathes wrong.

I don't get it. We are at 3% inflation and the Fed's target is 2%. We are at 4.3% unemployment and the target unemployment is less than 5%. We haven't overshot either metric.

The root cause of your current predicament is the prolonged period of low interest rates, which led to significantly overvalued stocks and an inflated housing market. A recession is necessary to correct these imbalances and bring prices back to realistic levels. Fed Increase rates please !

Why should the Fed bail out currency speculators?

If Siegel was in charge of interest rates he would keep them at zero forever. He has been calling for cuts for over a year.

Sure cut the rates and see how first house prices start rising again and then everything else!

The Fed needs to RAISE rates to stop run-away inflation...

I see a lot of raise the rate people in the chat. I don't know as much as most of you but wouldn't keeping the rates here or raising them risk a full blown economic depression of some sort? Wouldn't that wreck the global economy and risk years of turbulence. Im asking honestly, I feel like its the thing we should so but I also feel like it risk an awful lot of pain around the world and put us in a situation that we might have trouble pulling out of

Mortgage is 35 trillion billion in self mortgage in California

The Fed was too slow going up and now too slow coming down. The incompetence is causing unnecessary chaos and pain in the marketsㅠㅠ

How about factoring in the excessive govt. Spending. Also add food and transportation costs into your inflation.

Good idea if you're short. An emergency rate cut will panic markets

I wish I could be in one of his lectures at Wharton. This guy is awesome.

We haven’t even had a 10% correction in the S&P yet! P/E at 27.5 he’s nuts…market still overbought!

We need to RAISE rates not cut them.

No way the inflation rate is under 3%. My home and car insurance is up 20% just this year. Doubled in the past 5 years.

Interest rates are at normal levels. Rates need to go higher.

Respect for Professional like Siegel! People like him should be working for FED not bla bla bla people!

This Fed terribly behind the curve officially TWICE

Idk what inflation data they use, but my groceries still cost significantly more than before covid. So no don’t cut rate.

I thought jobs were still CREATED, just not as much expected. So, that's the reason an emergency cut is warranted ?? Really !? Unbelievable

Feds, please raise the rate to 10% so we can get this over with. Just give me some whiskey, like the beginning scene in Against The Ice. We got frostbite as a country.

When the Fed started raising rates, he called for a recession over and over again. Didn’t happen. Once the skies cleared, he went moderately bullish. Now, we have a small pull back and he’s calling for a Depression.

2.8% is not normal in a strong economy. But our economy hasn't been strong since 2008. Look at historic interest rates. 2.8% isn't normal.

2 75 basis cut within the next month this guy is smoking

What a difference a century makes: We've evolved from Bugsy Siegel to Bugeye Siegel. From real man, tough guy ... to.... hymie whiny.

I think we need to change the focus from stable inflation to stable rates. I rather have rates vary quicky between 3-5% while inflation varies from 0-8% than the opposite!

Either a rate cut now or the current Fed chair should step down. The incoming new administration will appoint a new Fed chair anyway.

4% is " full employment ". Have they forgotten ?

Jeremy … let’s take a chill pill … 1.5? Extreme for sure.

Siegel needs to go back and read the history books as to how the Fed cut rates too early in the 1970's, which reignited inflation!

The fed fund rates should be -10%

The market already priced in cuts. If the cuts happen sooner rather than later it only spooks them especially when you don't get a cut in November and December because they cut it in September

I really enjoy Siegel and am in the middle of reading his book. BUT I ask this: Has media and digital culture made us too reactionary? Is the need to be firing on all cylinders - fitness, money, investment returns, Peloton, Organic, 6 pack abs, kid's activities.....putting too much unrealistic pressure on us? My point: 16 million new cars being sold in North America this year and next year. 4.5% unemployment. Not too long ago we'd kiss someone's ass for that! Loser Europe NEVER has that. Banks are strong. Earnings - are good. Even if unemployment ticks up to 4.7, 4.8 yes it's heartbreaking for people who lose jobs. Homes don't sell in 4 minutes, but maybe take 45 days and *gasp* stuff that is up 50% over 4 years now has to include $10k in rebate or closing cost money. How is this an "emergency"?

Market rallied too high in 1 year. It can’t always go up. Correction is normal.

Fed rate cut significantly is necessary

Yeah, do a rate cut, and then 6 months later inflation will be through the roof😮

Somebody needs to change his diaper.

Would stimulate the market even if the fed did 0.375 point cut IMO. Then another 0.375 in September 1st week !

lol calling for emergency when market is still up crazy amount? why didn't you call when the market was going up 20 pc a year and tell them to slow it down

This guy normally is very bullish. He’s an economist, not an investment professional

Rates were too low for too long. Inflation is way too high. Unwinding this bubble won't be a painless process.

I thought we should have been 3.75-4.00 for the last 6 months

It's so funny to see people being snarky about this guy when 90% of them don't realize he is considered maybe the best historian of stocks and market valuation in the world. When he talks like this it is very unwise to think otherwise.

No cuts until December. It is hard to believe they let him on to say this.