2JĀ·

Fed interest rate cut prediction

14.08
WisdomTree Gold 3x Daily Leveraged logo
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181,26 €
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18 Commentaires

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My gut (and data) kinda disagree with expected cuts. We’ll see. GL
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@GeldGenie thank you šŸ™
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@GeldGenie what data? šŸ˜‚
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@Ph1l1pp The ones we discussed in the past. No need to redo that.
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@GeldGenie well, the market is pricing rate cuts in with a probability of almost 92%. Who’s in the wrong here?
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@GeldGenie the market is saying more than 90% chance it’ll happen
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@ClaraLvt It’s an FFFP Calculation. If no misprizing would happen - why would futures and stocks and markets fluctuate? It’s a traders expectation. That’s it. There’s always alternate views. That’s how one wins or looses. I didn’t take a bet on rate cut actions. It’s just my opinion. If I’d be in the feds position, and based on public numbers, I wouldn’t cut and fuel and risk a spike in inflation. Especially since the current rate is rather healthy.

I’d just represent the other 8-ish %.
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@Ph1l1pp If I’m wrong so be it. I won’t care and I’ll make money either way long term šŸ¤·ā€ā™‚ļø

I don’t make a finite claim to be right. But you seem to, so I hope you’re right. šŸ‘
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@ClaraLvt @Ph1l1pp Oh and lastly: The FED has the problem of double bind.

Cut rates now:
Likely worsens inflation if demand stays strong, especially with tariff-related cost pressures, but could support hiring and avoid layoffs if economy slows. Inflation could de-anchor from 2% target, forcing hawkish comments in the press briefing after. Beeing just as negative as no cut.

Hold rates:
Helps contain inflation, especially from demand side, but risks slowing job growth further, especially in interest-sensitive sectors (housing, capex, credit markets).

One way or the others: some loose some
win.
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@GeldGenie Job numbers are horrible—> rate cuts. And when trillions are poured into betting markets by big banks it’s not just talks but a real analysis that had been made by professionals and you can make big betting against it if you believe that they are wrong. And I am sure you’ve seen the recent raise in bank related stocks after the recent numbers came out, so this rate cuts is mostly already priced in
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@ClaraLvt again: double bind.

It’s not just big banks betting šŸ˜…

And please read some research on FED rates and banking stock correlation in short and medium term. Thereā€˜s enough out there disproving your point.

Not gonna discuss that further unless thereā€˜s actual data-driven arguments šŸ˜…
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Voir toutes les 5 autres rƩponses
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Most likely already priced in
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@ClaraLvt the price moves in a very lean range for 3 months now, so I believe it is going to break out
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