Wild swings ahead
Hey team. Next week, the highly anticipated rate cut will take center stage, serving as a major catalyst expected to trigger a surge in market volatility.
Let’s deep dive into the last weekly sessions and see what’s next for the market!
Impact Snapshot
Retail Sales - Tuesday
Federal Funds Rate - Wednesday
Unemployment Claims - Thursday
Macro Viewpoint
The S&P 500 index climbed 4% this week, fueled by growing optimism that the Federal Reserve's policy-setting committee will cut interest rates.
The Federal Reserve will be in focus next week, as uncertainty surrounds how much the U.S. central bank will cut interest rates at its monetary policy meeting.
Increasing bets suggest that the Fed's policy-setting committee may not only lower rates but could potentially reduce them by as much as half a percentage point.
Fed funds futures on Friday showed traders pricing an equal chance of a 25 basis point cut and a 50 basis point reduction.
Focus has turned to the employment market as inflation has moderated, with job growth coming in less robust than expected in the past two monthly reports.
Next week, all eyes will be on the two-day FOMC meeting that concludes on Wednesday.