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Powel just said

Posted on 8/23/24 at 9:05 am
Posted by SlidellCajun
Slidell la
Member since May 2019
13624 posts
Posted on 8/23/24 at 9:05 am
The time has come for the fed to change course.
Rate cuts are coming

We’ll duh but the markets are loving it

Up across the board



Posted by Art Blakey
Member since Aug 2023
285 posts
Posted on 8/23/24 at 9:24 am to
Powell won't say that true US interest expense (entitlement pay goes + debt service) is 92% of tax receipts YTD, was 120% for July and will be 100% YTD by year end at current rates but every action he takes is based this math.
Posted by LSURussian
Member since Feb 2005
131292 posts
Posted on 8/23/24 at 9:37 am to
Did he mention anything about the Presidential election being cancelled because of the stock market's drop two Mondays ago?
Posted by SDVTiger
Cabo San Lucas
Member since Nov 2011
87887 posts
Posted on 8/23/24 at 9:38 am to
quote:

Rate cuts are coming


.5 then 3 more .25s till end of the year
Posted by Longhorn Actual
Member since Dec 2023
2383 posts
Posted on 8/23/24 at 10:00 am to
I understand why they have little choice, but I still think it’s a mistake. I guess we’ll find out soon enough.

I think it’ll be very slow/gradual.
Posted by Weekend Warrior79
Member since Aug 2014
19217 posts
Posted on 8/23/24 at 10:18 am to
They need to stop talking and do it already. My 7(a) is a prime plus loan based on the rates at each quarter. I need this reduction to take place before 10/01
Posted by Run up middle
DeRidder
Member since Oct 2012
1448 posts
Posted on 8/23/24 at 10:27 am to
Does anybody know where this is actually held in JH?
Posted by Bow08tie
Louisiana
Member since Oct 2011
4491 posts
Posted on 8/23/24 at 10:39 am to
Not surprised at this expected move. Just in time to aid the D`s in November.
Posted by fallguy_1978
Best States #50
Member since Feb 2018
51807 posts
Posted on 8/23/24 at 10:41 am to
quote:

I understand why they have little choice, but I still think it’s a mistake. I guess we’ll find out soon enough.

You expect inflation to ramp back up?
Posted by Clint Torres
Member since Oct 2011
2791 posts
Posted on 8/23/24 at 10:59 am to
Nominate this for worst thread title of the year
Posted by JohnnyKilroy
Cajun Navy Vice Admiral
Member since Oct 2012
38701 posts
Posted on 8/23/24 at 11:15 am to
quote:

Just in time to aid the D`s in November.


We’ve been talking about rate cuts for like 12 months now
Posted by SloaneRanger
Upper Hurstville
Member since Jan 2014
10967 posts
Posted on 8/23/24 at 12:01 pm to
So they’ll start cutting with housing costs, food costs and the markets at or near all time highs. Bold strategy. Let’s see how it plays out for them.
This post was edited on 8/23/24 at 12:58 pm
Posted by Bard
Definitely NOT an admin
Member since Oct 2008
55659 posts
Posted on 8/23/24 at 12:12 pm to
quote:

.5


Posted by Bow08tie
Louisiana
Member since Oct 2011
4491 posts
Posted on 8/23/24 at 12:21 pm to
And
Posted by Art Blakey
Member since Aug 2023
285 posts
Posted on 8/23/24 at 12:26 pm to
quote:

So they’ll start cutting with housing costs, food and the markets at or near all time highs. Bold strategy. Let’s see how it plays out for them.


2% was the target, now it's the floor because he knows compound interest is undefeated against empires.
Posted by questionable
FL
Member since Apr 2008
1194 posts
Posted on 8/23/24 at 3:48 pm to
But but but Stout told me the housing market was going to tank. This is not fair.
Posted by SlidellCajun
Slidell la
Member since May 2019
13624 posts
Posted on 8/23/24 at 3:56 pm to
quote:

5 then 3 more .25s till end of the year


It’s good news but should be tempered with the understanding that rate reductions come when an economy is slowing down.

That said, for those waiting for rates to drop, they already have. The rates we see today are set in anticipation of the .50 rate drop in sept.
Posted by Twenty 49
Shreveport
Member since Jun 2014
20126 posts
Posted on 8/23/24 at 7:06 pm to
I’ve been in the stock market but balanced by also being a cash saver all my adult life, which has coincided with low interest rates. This last couple of years is the only time I’ve really made bank on my cash savings. I guess I’ll lock in another CD this weekend and squeeze a little more juice out of it.
Posted by slackster
Houston
Member since Mar 2009
89931 posts
Posted on 8/23/24 at 8:27 pm to
quote:

So they’ll start cutting with housing costs, food costs and the markets at or near all time highs. Bold strategy. Let’s see how it plays out for them.


By basically any metric they’ve got 1.50% of room before they’d even be neutral with rates. It’s not like they’re cutting with inflation at 5% or something.
Posted by JohnnyKilroy
Cajun Navy Vice Admiral
Member since Oct 2012
38701 posts
Posted on 8/23/24 at 9:08 pm to
quote:

housing costs, food costs and the markets at or near all time highs


Housing costs, food costs and the markets are at or near all time highs the vast majority of the time.

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