Market Veteran Still Worries About Recession Despite Rate Cuts
Global stock market welcomed the decision, but David Rosenberg, the former chief North American economist at Merrill Lynch and president of Rosenberg Research, remains cautious. He has consistently criticized Fed Chair Jerome Powell’s approach, and while he believes this rate cut was the right move, it was long overdue. David Rosenberg: Top Investment Picks are […]
Bond Market Shaken: Are Recession Fears Overblown?
Despite the Federal Reserve’s aggressive interest rate cuts, long-term bond yields climbed higher. Here’s why. On Wednesday, the Fed made its first significant move in four years, cutting short-term borrowing costs by 0.5%, bringing the target range to 4.75%-5%. This marked the central bank’s first rate cut since 2020. However, the market’s response was less […]
Small-Cap Stocks Set to Gain with Fed Rate Cuts
Small-cap stocks are grappling with uncertainty around the U.S. economy and Federal Reserve policy, according to analysts. Despite a significant rally over the past month, where the Russell 2000 Index (RUT) gained 3%, outpacing the S&P 500’s 1.4% rise, concerns linger over the sustainability of these gains. Investors remain cautious as they await clarity on […]
Will a Fed Rate Cut Weaken the U.S. Dollar Further?
Analyst Joe Tuckey believes that a larger rate cut from the Federal Reserve could signal “growth concerns and economic trouble ahead.” The U.S. dollar has been weakening ahead of a widely anticipated interest rate cut from the Fed on Wednesday, with the size of the cut determining whether the dollar will continue to decline or […]
Fed Rate Cuts: Boost or Bust for Stocks?
Whether the Federal Reserve can prevent a recession in time could be the deciding factor. A Fed interest-rate cut this Wednesday is nearly certain, but how the stock market will respond to the loosening of monetary policy remains unclear. History offers some clues: why the Fed is cutting rates matters more for markets than the […]
Small-Cap Stocks Beat S&P 500 as Fed Cuts Loom
On Thursday, the small-cap-focused Russell 2000 index surged, reflecting the strength of U.S. small-cap stocks, which have been outperforming the S&P 500 during the third quarter. Despite facing greater losses than large-cap stocks in September, small-caps are showing resilience. “Small caps received a boost when the Federal Reserve signaled a move toward easier monetary policy,” […]
