Small cap stocks dance in the wind: market ignited by expectations of a 50 basis point Fed rate cut.
The optimistic sentiment of the Fed cutting interest rates by 50 basis points this week has driven the performance of small cap stocks. However, the expectation of a 50 basis point rate cut needs to become a reality in order to avoid a blow to small cap stocks.
Goldman Sachs responds to 'counter-accusation' questioning: it is not absurd for gold to rise to $2700.
Goldman Sachs continues to maintain a bullish view on gold, but also warns that if the Federal Reserve cuts interest rates by 25 basis points this week, the price of gold may face a short-term pullback.
Taking history as a lesson! What will happen after each "50 basis points rate cut" by the Fed?
Nomura Securities pointed out that three months after the Federal Reserve cut interest rates by 50 basis points, small cap stocks surged, value stocks outperformed growth stocks again, metal prices soared, and the yield curve steepened, indicating a bullish market trend. The Federal Reserve has previously raised interest rates by 75 basis points multiple times, so it is not surprising to start a rate-cutting cycle with a 50 basis point cut, and it may not necessarily trigger market panic.
Express News | Goldman Sachs: If the Fed chooses to cut interest rates by 25 basis points this week, the gold price may face a slight pullback in the short term.
The bet on a 50 basis point interest rate cut is becoming increasingly significant, and there are also these reasons for not reducing interest rates substantially.
Dow Jones hit a new high, gold reached a new high, and the Japanese yen broke through the 140 level.
The Fed is approaching rate cuts, the usd index is falling, gold hits new highs again.
As the Federal Reserve's interest rate cut gets closer, the US dollar index continued its recent trend this week, falling further on Monday, which also pushed gold to hit a new all-time high, and the renminbi continued to appreciate. With the expected interest rate cut in September, various global assets are expected to follow this trend and go further.