The Federal Reserve's first rate cut in four years, with Bank of America predicting a further 75 basis point cut before the end of the year.
Bank of America Global Research Company said on Wednesday (September 18th) that it is expected that the Federal Reserve will cut interest rates by 75 basis points for the remaining time this year, which is higher than previously estimated. Bank of America also pointed out that the Federal Reserve may further reduce interest rates by 125 basis points by 2025. On the same day, Goldman Sachs predicted that the Federal Reserve would cut interest rates by 25 basis points multiple times until mid-2025.
Is the Federal Reserve starting an interest rate cut cycle on the cusp of a wave, possibly revealing the outcome of the election in advance?
Taking history as a lesson, in an election year with declining interest rates, the probability of the incumbent president or challenger winning is greater.
US stocks pre-market: NASDAQ up more than 2%, S&P 500 index, Dow Jones hit new record highs again; growth tech stocks collectively rise, nvidia, tesla up about 5%.
The Federal Reserve has initiated the long-awaited interest rate cut cycle, announcing a 50 basis point cut. This move will protect the world's largest economy from economic recession, causing a wave of risk appetite in global financial markets on Thursday, driving the stock market, US dollar, gold, and oil prices to rise simultaneously.
The smaller the plate, the more fierce the rise? Rate cuts plus a soft landing, the Russell 2000 has risen for six consecutive days and may become the 'big winner'!
After the Federal Reserve announced a 50 basis point rate cut, the three major US stock indexes all straight up but ended with losses; the small cap representative e-mini Russell 2000 index also straight up, with greater elasticity, and ultimately closed flat; 'aggressive rate cuts' meets 'strong economy/soft landing', small caps are considered to benefit more from loose mmf policies.
5.1 trillion US dollars of options will expire! The "Triple Witching Hour" of US stocks will hit tomorrow night, what impact will it have on the market?
According to derivative analysis company Asym 500 estimates, approximately $5.1 trillion of index, stocks, and ETF options will expire on Friday.
Prominent bear: Powell's self-contradiction, it is not surprising that interest rates will be cut twice by 50 basis points this year.
Prominent economists argue that the Fed's 50 basis point rate cut actually acknowledges that they missed the opportunity to cut rates for the first time in July.