Analytical Reviews

Get the latest economic news from ForexMart, including updates on the financial market, central bank policy announcements, financial indicators, and other relevant news which can impact the industry.

Disclaimer:  Information provided here to retail and professional clients does not contain and should not be construed as containing investment advice or an investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance.

Wall Street experts: the economy is more important than interest rates


September, 18 2024
watermark Economic news

On the eve of the US Federal Reserve meeting, where an interest rate cut is expected, leading Wall Street strategists focus on the fact that the state of the American economy has a more significant impact on the stock market than the size of the rate cut.


Although the Fed is expected to cut the rate by 25 bps, and some predict a reduction of even 50 bps, Wall Street strategists are focusing on the risk of recession in the economy after a long period of high rates.


Analysts believe that if the labor market data weakens, stock indexes may begin to fall, regardless of the magnitude of the Fed's rate cut. If the labor market strengthens, a series of gradual rate cuts until mid-2025 may support the growth of stocks. They also emphasize that changes in interest rates alone are not a determining factor for the stock market in an uncertain economy.


However, it is worth noting that in the past, the initial reaction of the stock market to the beginning of monetary easing by the Fed was restrained, and subsequent results varied greatly depending on the state of the economy.


コメントする

ForexMart is authorized and regulated in various jurisdictions.

(Reg No.23071, IBC 2015) with a registered office at Shamrock Lodge, Murray Road, Kingstown, Saint Vincent and the Grenadines

Restricted Regions: the United States of America, North Korea, Sudan, Syria and some other regions.


© 2015-2024 Tradomart SV Ltd.
Top Top
Risk Warning:
Foreign exchange is highly speculative and complex in nature, and may not be suitable for all investors. Forex trading may result in a substantial gain or loss. Therefore, it is not advisable to invest money you cannot afford to lose. Before using the services offered by ForexMart, please acknowledge the risks associated with forex trading. Seek independent financial advice if necessary. Please note that neither past performance nor forecasts are reliable indicators of future results.
Foreign exchange is highly speculative and complex in nature, and may not be suitable for all investors. Forex trading may result in a substantial gain or loss. Therefore, it is not advisable to invest money you cannot afford to lose. Before using the services offered by ForexMart, please acknowledge the risks associated with forex trading. Seek independent financial advice if necessary. Please note that neither past performance nor forecasts are reliable indicators of future results.