Markets approaching an ‘ugly seasonal period’ amid rate cuts

[Pelican Press 0]

This is the hidden content, please

• Sign In
• or
• Sign Up

Markets approaching an ‘ugly seasonal *******’ amid rate cuts

The Federal Reserve is anticipated to cut interest rates in September following Fed Chair Jerome Powell’s dovish comments in his Jackson ***** speech last week. However, Wall Street is now considering the impact of rate cuts as markets (^DJI, ^IXIC, ^GSPC) begin pricing them in.

FS Investments chief market strategist Troy Gayeski joins Catalysts to discuss rate cut outlooks and sheds light on his market perspective.

Gayeski notes that while markets are recovering after early August corrections, equities are entering “a pretty ugly seasonal ******* historically.” He also notes that current market valuations are exceptionally high, advising investors to “focus on growth at a reasonable price.”

Regarding the anticipated Federal Reserve rate cuts, Gayeski states, “This is one of the few times where markets are actually aligned with reality.” He predicts three cuts before the end of 2024, with an additional three to six cuts in 2025, suggesting this could help stave off a recession.

However, Gayeski cautions, “If the Fed ends up cutting more aggressively, that basically lays out the scenario you’re discussing, where we are going to enter an unexpected recession. And that point, clearly, equities will go through a meaningful dislocation.”

For more expert insight and the latest market action, click here to watch this full episode of Catalysts.

This post was written by

This is the hidden content, please

• Sign In
• or
• Sign Up

This is the hidden content, please

• Sign In
• or
• Sign Up

#Markets #approaching #ugly #seasonal #******* #rate #cuts

This is the hidden content, please

• Sign In
• or
• Sign Up

This is the hidden content, please

• Sign In
• or
• Sign Up