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Jan@Barrd
1Mo
Because the stock market is not as simple as you imagine.
It was completely priced in that interest rates would be lowered. However, as 0.25 was expected, the "big" move came as a surprise. Now there is a brief panic because it could mean that there is no soft landing in the USA after all but a hard recession
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Stephan Schnee@MrCumEx
1Mo
@Barrd Yes, the stock market is just like a bitchy woman ;-)
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Jan K.@Ilu92
1Mo
@Barrd Where did you get the idea that 0.25 was calculated?
It was priced at 0.5 with over 60% probability according to watchtool. Accordingly, it turned out as the market expected.
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Jan@Barrd
1Mo
@Ilu92 because only 0.25 was fed in over the last few weeks/months. The 0.5 only came into focus in the last two weeks. Which was ultimately the right thing to do
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Ti M.@douc1t
1Mo
@Barrd is all true, but why is everything else going up right now? Tech and co wouldn't be happy about a hard recession either 🤔
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Jan@Barrd
1Mo
@douc1t Powell's speech afterwards was very good. It dispelled the worries of the investments for the time being.
First the cut is announced and then the Fed chief always gives a speech where he explains everything further.
And in this case it was reassuring :)
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