Samlunch
07-02

SUMMARY OF FED CHAIR POWELL'S COMMENTS (7/2/24):

1. The trend of disinflation appears to be resuming

2. Need to be more confident before reducing rates

3. Fed doesn't see 2% inflation "this year or next year"

4. Budget deficit is very large and unsustainable

5. 4% unemployment is still a very low unemployment rate

6. Moving to fast creates risk of inflation returning

The Fed needs more data before rate cuts can begin.

It's clear that the Fed will continue their "meeting by meeting" approach.

While markets are expecting 2 rate cuts this year, the Fed's latest guidance says 1 cut is coming.

The next few months are crucial.

Sector Rotation? Will Fund Flow to ____ ?
As semiconductors pulled back, the financial and consumer sectors closed higher. Companies like PG, CL, and WMT hit new highs. Tesla and Apple also showed strong momentum recently. SaaS stocks Snowflake and Cloudfare present good upward trend. ----------------------- What other opportunities are worth paying attention to? Will fund flow to other sectors? Will growth stocks start to rise?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment