!!! Important !!!
The Fed has been dragging its feet on cutting interest rates. The reason behind this is actually to harvest global finance?
Why is the United States in a hurry to harvest Japan?
In addition to the inflation factor we mentioned earlier, there is another important reason why the Fed has been slow to cut interest rates, that is, the United States has not yet achieved its expected financial harvest of the world.
The United States wants to harvest not only other countries, but also its own domestic financial markets.
They have been creating good-looking employment data to give the Fed a reason to delay cutting interest rates.
However, as the issuance of U.S. bonds slows down, the rate of decline of the Fed's reverse repurchase is also slowing down, which means that the Fed has the confidence to say "no rush to cut interest rates."
However, the United States will face another wave of debt repayment peaks in the second half of the year, and the issuance of bonds is bound to accelerate, which will lead to the depletion of the Fed's reverse repurchase, and there is a high probability that financial liquidity will have problems.
Therefore, I predict that the Fed will most likely cut interest rates this year to ease the pressure on the financial market.
What do you think of the Fed's interest rate cut expectations?
Do comment and let know your thoughts