Fed meeting minutes are out, and the message is clear: rate cuts aren’t coming anytime soon.
The Fed wants to see more data before making a move, and with inflation perking up again, they aren’t in a rush to ease rates.
They hinted at one or two cuts later this year — but that’s far from a guarantee.
So what does this mean for the markets?
- Stocks reacted… but didn’t collapse. The S&P 500 wobbled but is still holding up despite what seems like a major selloff recently.
- The bond market isn’t convinced. Some traders are still pricing in cuts this summer.
- Inflation-sensitive assets are worth watching. Gold, commodities, and rate-sensitive stocks could see big moves if the market starts adjusting expectations.
Right now, all eyes are on next week’s GDP (Gross Domestic Product) and PCE (Personal Consumption Expenditures) reports — both key inflation measures that could push the Fed’s hand.
If inflation comes in hot, rate cut expectations may fall further… and that could shake up the market again.
I covered all this and more in my Weekly Wrap-Up. Click here to watch it now.
Stay sharp,
—Geof Smith
P.S.With Russia attacking refineries in Ukraine… And President Trump intends to reduce foreign oil imports… U.S. producers must step up. And that could shake up oil markets. Here’s how I’ve been playing it!
