by Lance Roberts
My articles My offerMy siteAbout meMy videosMy books
Follow on:TwitterSeeking AlphaFacebookAmazon
| 📊 Exploring the impact of government support on economic activity and consumer confidence! 💸💠#EconomicInsights #GovernmentSupport #ConsumerConfidence Watch the entire show here: https://cstu.io/58d8f8 YouTube channel = @ TheRealInvestmentShow |
You Might Also Like
Employment Numbers Disappoint: A Reality Check on Post-2020 Job Rehiring
2024-10-06
Reality check on #employment numbers! The recent revision shows 818,000 jobs lost post-2020 were rehires. Slow economic growth = slower wage increases. 📉
Watch the show here: https://cstu.io/5768c6
YouTube channel = @ TheRealInvestmentShow
A Crystal Ball Isnt Enough: The Importance Of Context
2024-10-02
On September 18, 2024, the headlines read the Fed cut the Fed Funds rate by 50 basis points. At first blush, one would think that a trader with a crystal ball a couple of days before the Fed action would buy bonds and lick their chops over the money they would soon make. In this case, the crystal ball was a curse.
Bond yields rose following the rate cut despite what many investment professionals perceive to be a bullish event. If you scour the media, you will find rationales for the sell-off. Such includes the Fed stoking inflation or China’s massive stimulus package. In our opinion, it’s much more straightforward; it all comes down to context.
We were inspired to write this by a message asking us in disbelief if we had ever seen such an adverse bond market reaction to a rate cut.
Tags: Featured,newsletter
