A few weeks ago the expectation was clearly rate cuts. Now Fed officials are openly saying the next move could be higher, lower, or no change at all.
What’s driving it:
- Inflation still elevated (oil, tariffs)
- Labor market softening, but not breaking
Feels like the market is losing that “rate cuts are coming” certainty and moving into a much more data-dependent phase.
Came across this on blossom and thought it was a pretty meaningful shift in tone, curious how people are positioning around this, still expecting cuts later this year, or is the Fed done for now?
https://www.wsj.com/economy/central-banking/fed-officials-signal-that-rate-cuts-may-be-over-76891741
🚨Fed Officials Signal That Rate Cuts May Be Over
byu/kabirsbhutani ininvesting
Posted by kabirsbhutani
11 Comments
Ya think?! Doy
Raising rates into a supply shock isn’t really proven out anyways
😂😂. Good one. Wait for the jobs report release on Friday.
Not gonna be pretty
>What’s driving it:
A DEMENTIA RIDDLED FOOL who keeps starting wars, disrupting trade deals, weakening the American dollar, and driving up prices with tariffs and chaos.
What shoebox you been living under?
Wait till the next guy is in office…if there isn’t a rate cut, Trump is going to declare war on the Fed
Well, duh.
Inflation is back on the rise due to tariffs and war. He promised tariffs would bring money but didn’t do it correctly or legally so they are illegal.
Then he started a war without congress which wiped away the little money generate from a year of tariffs in less than a week.
So of course the feds aren’t going to cut rates. It’s like opening another credit card because your other cards are maxed out.
Wait until powell is out and the next yes man is in. Rates will be down to 1% and we will all be eternally fucked.
I am 60% bonds, 20% gas and pipelines, and the rest index funds. I don’t see a fast rebound.
The next change could be higher, lower, or no change at all?!!! Jeeez never saw that coming….
Buckle up and prepare for some good old-fashioned 70’s-style stagflation.