U.S. stocks are all in the green! The minutes of the Fed meeting reveal new trends in interest rate cuts
Big news in the early morning! The Fed has released a blockbuster announcement!
Just this morning, the Fed released the minutes of its September interest rate meeting. They decided to cut interest rates by 50 basis points at that time, but not everyone agreed with this decision.
Most officials think that a 50 basis point cut is appropriate, but some think that a 25 basis point cut is enough. They think that they should take steady steps, which is in line with the normalization of monetary policy.
The minutes also said that if inflation can continue to move towards the 2% target and the job market remains strong, the Fed may adopt a more neutral monetary policy in the future.
As soon as the news came out, U.S. stocks immediately rose across the board, and the S&P 500 index hit a new high. Chinese stocks also rebounded a lot, and the decline of the Nasdaq China Golden Dragon Index also narrowed.
Now the market feels that the Fed is almost out of the question to cut interest rates in November, and it is expected to cut by about 47 basis points by the end of 2024, which is much lower than before.
The US CPI data for September is also about to be released, and the market predicts that the year-on-year growth rate will slow down.
In addition, the US mortgage rate and 10-year Treasury yield have both risen a bit.
Some analysts and experts feel that considering the strength of the US economy and the persistence of inflation, the Fed may only cut interest rates once more for the rest of the year, a total of 25 basis points.
In general, although there are some differences within the Fed on rate cuts, the market has not changed the general direction of the rate cut cycle, which is a good sign for the stock market. At the same time, the market's expectations for future rate cuts by the Fed have also cooled down a bit, and it is expected that the rate cut will not be too large in the short term.
#SCR新币挖矿开始！ #你认为PeterTodd是中本聪吗？ #币安LaunchpoolSCR #非农人数大幅升温
Recently, I am planning to ambush a potential coin that is ready to explode. It is still very easy to double it. At the same time, I am also preparing to find some potential coins to hold by the end of the year. It is expected that there will be no problem with more than 10 times the space. If you want to keep up, leave a message, follow, like, and share for free.
