The End of Higher Rates - For Now

Trading Perspectives: An Economic Podcast

This week, central banks across the world essentially said their collective fight against inflation was over. In the United States, the Fed’s own data suggested it would start cutting the overnight rate roughly 3 times in 2024. Couple that with Fed Chairman Powell’s dovish comments about inflation, and investors took it as the end of this tightening cycle. However, this begs the questions: 1) is inflation really dead, and; 2) did the Fed do the right thing?

In this week’s Trading Perspectives, Sam and John talk about the Federal Reserve’s non-action this past week and what it means for the economy and the markets heading into the new year.