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Why another 50 bps cut from the Fed is ‘unrealistic’

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The Federal Reserve has initiated a rate-cutting cycle, starting with a significant 50 basis point reduction last week. As this new phase unfolds, investors are questioning whether such aggressive monetary easing will continue. Lafayette College Chief Investment Officer Krishna Memani joins Catalysts to share his perspective on the future of monetary policy. Memani suggests that current interest rates are higher than necessary, citing “the slack that is developing in the labor market.” Despite this, he believes the economy is currently in “a good place.” Looking ahead, Memani expects rates to follow “a continuous downtrend” in the coming months. Memani admits he anticipated a more modest 25 basis point cut rather than the 50 basis point reduction implemented last week. He cautions that investors “should not expect” the Federal Reserve to maintain such aggressive 50 basis point cuts going forward. Regarding future rate decisions, Memani states, “If employment remains strong, I think expecting a 50 [basis point cut] in the next meeting is a bit unrealistic.” For more expert insight and the latest market action, click here to watch this full episode of Catalysts. This post was written by Angel Smith.
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Economic fundamentals ‘are very, very good’ despite inflation, strategist says

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inflation #stockmarket #economy CapWealth CIO Tim Pagliara and Frederick, Schwab Center for Financial Research managing …

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Small businesses will be a ‘dark horse’ during holiday shopping

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smallbusiness #holiday #holidayspending #yahoofinance The Federal Reserve’s 50-basis-point interest rate cut is already …

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Google unveils Gemini, its latest AI chatbot

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google #gemini #ai #chatbot #yahoofinance Google (GOOG, GOOGL) unveiled its newest generative AI model, the Gemini …

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Alibaba CEO on how AI will transform shopping

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Alibaba (BABA) is hosting it’s second annual co-create event in Las Vegas, where the Chinese e-commerce giant is releasing …

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Xi Jinping says China can work with U.S. ahead of G20 summit

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PresidentXi #China #yahoofinance Yahoo Finance’s Rick Newman breaks down a more positive statement from Xi Jinping on …

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