‘Fed Put’ Back on the Table: What That Means for the Market

a sizeable tapering of their Quantitative Tightening program;: for the first time in a while the reflation thesis was challenged by a weaker suite of data clashing versus the very optimistic 5% economist expectation for 2024 US nominal GDP growth;

Summing up Treasuries and other bonds, the Fed was allowing $95 billion of bonds to roll-over its balance sheet each month.Mortgage-Backed Securities That elsewhere is due to Money Market Funds draining down the Reverse Repo Facility to buy the avalanche of T-Bills issued by the US government. Will they also replicate such a proactively dovish stance regarding interest rate cuts and start their cutting cycle in summer despite the inflation comeback we witnessed in the first quarter?The Fed would achieve that by signaling a very dovishly skewed Forward Guidance: ready to proactively ease at the first signs of weakness, while not tightening if growth or inflation pick up.

Ireland Ireland Latest News, Ireland Ireland Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Stock Market Today: S&P closes lower in wild ride as Fed keeps rate unchangedStock Market Today: S&P closes lower in wild ride as Fed keeps rate unchanged
Source: Investingcom - 🏆 450. / 53 Read more »

Stock Market Today: S&P 500 rides Tesla, Apple higher; Fed meeting eyedStock Market Today: S&P 500 rides Tesla, Apple higher; Fed meeting eyed
Source: Investingcom - 🏆 450. / 53 Read more »

Market 'underappreciates' that the Fed will cut rates for one reason or anotherMarket 'underappreciates' that the Fed will cut rates for one reason or another - Citi
Source: Investingcom - 🏆 450. / 53 Read more »