How Will Fed's Rate Cut Affect Your Life?

Whether your are Singaporeans or Aussi or Kiwis, people with home loans could see their burden eased as banks will or already follow the Fed by significantly lowering mortgage rates. With the Fed shifting focus from rate hikes to cuts, it signals that inflation might be easing faster than expected. ----------- Do you think rate cut would bring positive impact to your life? Will your investing trend shift?

💰Fed Cuts & S&P 500 11 Sectors: A Historical Review

[Heart]Hello, Tigers, are you also anxiously waiting for the Fed’s interest rate meeting?Last week, Tiger community posted 💰5 Charts to Know the Historical Fed Rate Cuts Impact & Strategic Insights,hope it has some help to you to know better about the Rate Cut Cycle.Today, We have compiled the performance data of the 11 major sectors of the $S&P 500(.SPX)$ index 3 months, 6 months, and 12 months after the 8 rounds of interest rate cuts by the Federal Reserve since 1984.See the chart below:Combining the data, we know that the S&P 500 index consists of 11 industries, and each industry has different sensitivity to interest rate fluctuations.Assuming that the Federal Re
💰Fed Cuts & S&P 500 11 Sectors: A Historical Review

🚀Hooray, 💰SGD 20,000 Cash Boost Account for Every SG Tigers

[Miser][Heart]Hello, Tigers,The Federal Reserve's interest rate cut cycle has started since september.During the interest rate decline cycle, the stock market $S&P 500(.SPX)$ $Straits Times Index(STI.SI)$ can mostly maintain an upward trend in the medium to long term.Feel free to share your long-term investment opportunities in the comments.Read more>>💰5 Charts to Know the Historical Fed Rate Cuts Impact & Strategic InsightsFed Cuts 50bps,🎉STI Towards 17Yrs High, Open Cash Boost Account Now!🥳
🚀Hooray, 💰SGD 20,000 Cash Boost Account for Every SG Tigers

Markets Anticipate Fed Rate Cut Amid Mixed Inflation Data

As the Federal Reserve’s September meeting approaches, speculation is growing over the magnitude of the expected rate cut. While many traders are pricing in a quarter-point reduction, recent market movements suggest the possibility of a half-point cut is gaining traction. Amid mixed inflation signals and cooling labor market data, all eyes are on how the Fed will respond. This report also highlights developments from the European Central Bank (ECB) and the Bank of Japan (BOJ), alongside key movements in precious metals and technology sectors. Federal Reserve Speculation and Inflation Data Fed Faces Tough Decision The Fed is set to make a critical decision next week, with the balance shifting toward a quarter-point rate cut. However, a recent decline in Treasur
Markets Anticipate Fed Rate Cut Amid Mixed Inflation Data

💰5 Charts to Know the Historical Fed Rate Cuts Impact & Strategic Insights

On September 18th, the Federal Reserve is expected to usher in a new round of interest rate cuts, with the U.S. stock market in September enveloped in an environment of high volatility expectations.According to data from Trading Economics, the U.S. federal funds rate is projected to be around 4.75% in 2024 and around 3.75% in 2025.The vast majority of economists surveyed by Reuters indicated that the Federal Reserve will cut interest rates by 25 basis points at each of the three remaining meetings in 2024.The impact of interest rate cuts on the entire financial market will be multifaceted, see the figure below:Read more>>📅 Global Impacts Study Before the Coming 2024 Fed Rate Cuts
💰5 Charts to Know the Historical Fed Rate Cuts Impact & Strategic Insights

YTD 203%+ But Still In "Buy List"!

There's a gaming software stock that's up 203% year-to-date, but the market thinks its growth story isn't over yet.Shares of the company fell to over $10 at the beginning of 2023 due to the high interest rate environment that has closed in on the suppressed advertising and gaming market, and have now risen to over $120.As the Federal Reserve has officially begun a rate-cutting cycle, this type of strong-performing growth stock could draw further coveted funding.It’s $AppLovin Corporation(APP)$.Advertising, gaming, and entertainment peers of tech giants like $Trade Desk Inc.(TTD)$ $Meta Platforms, Inc.(META)$ $Alphabet(GOOGL)$
YTD 203%+ But Still In "Buy List"!

BIG TECH WEEKLY | How's Techs In Non-Recessionary Rate Cuts Cycle?

Big-Tech’s PerformanceThis week's market was, in four words, a "comeback".After last week's jobs report, the entire market began to expect the first rate cut and priced in a different "recession or no recession".Risky and safe-haven assets took turns in the flow of funds, and as a result, volatility rose in the market.But this week's strength in tech stocks, such as Tesla's FSD expectation boost, Apple's launch superstar, and NVIDIA's Jen-Hsun Huang reiterating the market's strong demand for AI in his talk, have all rekindled investor sentiment towards tech companies.The market is now implying that the Fed, by December, will cut rates by 100 basis points, and by June next year by more than 200 basis points to around the 3% level.By the close of trading on September 12, big tech companies w
BIG TECH WEEKLY | How's Techs In Non-Recessionary Rate Cuts Cycle?
avatarBarcode
09-17
$NVIDIA Corp(NVDA)$  🎢🚀💹 Choppy Waters Ahead or Smooth Sailing? 💹🚀🎢 Barcode’s Broader Market Update for the 17th of September. Tēnā koe i tēnei ahiahi Tigers, 📈 Market Overview: Another relatively strong day in the market, day six of this short-term cycle! We started out strong, but like a cat that’s had too much sun, the market faded as the day wore on. The S&P 500 hit a triple top at record highs 🧗‍♀️ but struggled to push beyond. Meanwhile, the Dow tried to sprint ahead, only to catch its breath after a quick retreat 😅. Momentum is brewing with that much-anticipated Fed meeting hanging over us like a Tui waiting to swoop! NVIDIA’s consolidation in the lower half of its range is a bit like waiting for the perfect surf, any moment it mig

US Market Insights (16-20 Sep): Waiting for the Fed’s First Rate Cut

The S&P 500 and Nasdaq-100 returned 4.06% and 5.96%, respectively, last week. Major market movers included JP Morgan (-3.83%), Berkshire Hathaway (-2.57%), Adobe (-4.71%), Wells Fargo (-2.26%), Exxon Mobil (-1.32%), Amazon (+8.81%), Broadcom (+22.41%), Tesla (+9.28%), Meta (+4.87%), Alphabet (+4.47%), Oracle (+14.26%), and AMD (+13.37%). Important economic events this week include Retail Sales on Tuesday, and the FOMC meeting and Unemployment Claims on Thursday. The Bank of Japan (BOJ) is scheduled to hold its policy meeting on Friday, but no changes are expected. Things You Should Know Before Starting Your Week: 1) Election Uncertainties May Continue to Weigh on Stocks in the Coming Weeks Clean energy stocks rose last week, indicating that Wall Street may be betting on Kamala Harris l
US Market Insights (16-20 Sep): Waiting for the Fed’s First Rate Cut
avatarMrzorro
09-18
Options Traders Brace for Wild Stock-Market Swing Ahead of Momentous Fed Rate Decision As the Federal Reserve approaches a pivotal moment, transitioning from an extended cycle of interest rate hikes to potential rate cuts, market participants are on edge. The central bank's decision, set to be announced on Wednesday, has sparked considerable debate among traders and analysts, with conflicts over the magnitude of the rate cut—whether it will be a 50 basis-point reduction or a more modest 25 basis points—fueling heightened uncertainty and potential market turbulence, something that day traders are please to brace for. Conflicting Expectations Add to Market Uncertainty The debate over the size of the anticipated rate cut is particularly intense. Market volatility stands at an extreme level—th

What’s coming after the rate cuts? - An abyss? or a bullish context?

As presented in previous editions, probabilities after breadth signals and historical studies about rate cuts periods suggest new all time highs are coming, and technicals presented last week like Volume Shelves and the McClellan Oscillator suggested that a bounce was around the corner. $S&P 500(.SPX)$ and $NASDAQ 100(NDX)$ bounced from a higher level than expected, $DJIA(.DJI)$ and Small Caps $iShares Russell 2000 ETF(IWM)$ were the ones reaching the first weekly support and they bounced rapidly on Wednesday. Technical analysis is about probabilities and the S/R Levels are the rapid validators, so once $5,478 and $18,
What’s coming after the rate cuts? - An abyss? or a bullish context?

Will a U.S. Fed Rate Cut Bring Relief to Australian Borrowers?

Michele Bullock, The RBA governor As the U.S. Federal Reserve moves closer to cutting interest rates, Australian borrowers might wonder what this means for them. Historically, economic moves in the U.S. tend to ripple across the globe, influencing policies in nations like Australia. While U.S. Fed Chair Jerome Powell signals rate cuts aimed at easing inflation and stimulating the economy, Australians hoping for similar relief might be disappointed. The Reserve Bank of Australia (RBA), led by Governor Michele Bullock, has made it clear that rate cuts are unlikely in the near future. The Global Trend of Rate Cuts The U.S. is poised to join other major economies, including the UK, Canada, China, and New Zealand, in reducing interest rates. These cuts reflect a global trend toward easing mone
Will a U.S. Fed Rate Cut Bring Relief to Australian Borrowers?
avatarTiger V
09-15

Fed Rate Cut: Navigating Market Waves and Your Investments

Overview:  As the Federal Reserve's highly anticipated September 17-18 meeting approaches, the global market holds its breath. With an 87% chance of a 25 basis point rate cut, investors are eager to know how this move will impact their portfolios. A Fed rate cut could bring short-term relief to markets, potentially fueling growth, but it’s a delicate balance, especially with lingering economic uncertainty. Let’s dive into what a potential rate cut could mean for various segments of the market. Stock Markets: Bullish or Bearish?  A Fed rate cut often lowers borrowing costs, allowing companies to expand more easily, which could spark a short-term rally, or even a mini bull market. Tech and growth stocks, in particular, could see a boost as cheaper financing benefits innovation-driv
Fed Rate Cut: Navigating Market Waves and Your Investments
avatarTiger V
09-14

Fed Rate Cut Playbook: Tapping Into Defensive Stocks and Bonds

Overview of Market Trends:  As the Federal Reserve (Fed) gears up for an anticipated rate cut next week, investors are shifting to a more defensive stance. This shift has spurred strong demand for safe-haven assets such as gold, U.S. Treasury bonds, and defensive stocks. Economic recession concerns and the uncertainties surrounding the upcoming U.S. presidential election have driven this move, with real estate, utilities, and consumer staples emerging as top-performing sectors. Gold has also hit new historical highs, reflecting increased demand for risk-off assets. Gold Shines Amid Rate Cut Expectations: Since March, gold $XAU/USD(XAUUSD.FOREX)$  has seen a surge in prices, repeatedly setting new hi
Fed Rate Cut Playbook: Tapping Into Defensive Stocks and Bonds

Which S-REITs Would Benefit Most From Rate Cut? Look at Analysts' Top Picks!

Analysts widely expect that S-REITs will be the primary beneficiaries during an interest rate cut cycle.In the first half of this year, interest costs for $SATS LTD.(S58.SI)$ , $ParkwayLife Reit(C2PU.SI)$ , and $IFAST(AIY.SI)$ increased the most, more than doubling.Thilan Wickramasinghe, Head of Research at Maybank Securities believes that interest rate cuts will help reverse the trend of rising interest costs for these companies.$SATS LTD.(S58.SI)$ has surged significantly after its latest financial report. If it benefits from interest rate cuts, could SATS reach its previous highs?If interest rates continue to
Which S-REITs Would Benefit Most From Rate Cut? Look at Analysts' Top Picks!
avatarBarcode
09-16
$Endeavour Silver(EXK)$ $iShares Gold Trust(IAU)$ $FedEx(FDX)$ $General Mills(GIS)$  🎯📉🎯📈 FED Week Frenzy: Gold, Silver & Miners Soar Amid Key Earnings!🎯📉🎯📈🎯 Kia ora Tiger traders! It’s Fed Week, and the markets are heating up! With Gold and Silver surging, plus some major earnings reports on deck, there’s no better time to get ready for action. ☕📈 Key Events This Week: 📅 Tuesday – August Retail Sales Data 🏗️ Wednesday – August Building Consents Data 💸 Wednesday – Fed Interest Rate Decision 📢 Wednesday – Fed Press Conference 🏭 Thursday – Philly Fed Manufacturing Index 🏘️ Thursday – August Existing Home Sales Data 🟡
avatarTiger V
09-13

Fed Rate Cut: Boost or Bust for Singaporeans?

Overview: The U.S. Federal Reserve's upcoming meeting is highly anticipated as it may decide on a rate cut, which could have global ripple effects, including in Singapore. The possibility of lowering interest rates stems from concerns over the U.S. economic outlook. High interest rates have stifled consumption and borrowing, slowing economic growth. A rate cut would impact global financial markets, including inflation control and economic activity, making it critical for Singaporeans to understand the potential implications. Impact on Inflation Control The Fed has been raising rates to tame inflation, which hit 9% at one point, aiming to bring it down to a target of around 2%. However, despite its efforts, inflation has remained above target. As a result, the Fed's high rates have stifled
Fed Rate Cut: Boost or Bust for Singaporeans?

💰After Fed's Decision, Who will be the King Winners among MAG7 Stocks?

As the Federal Reserve prepares to announce its interest rate decision on September 18th, investors are keenly watching for any signs of how the MAG7 stocks might respond. Historical data from the last Fed rate cut cycle in 2019, as illustrated in the provided image, can offer some insights.The data also highlights the performance of these stocks in the periods following the first, second, and third rate cuts, with some stocks showing impressive gains, such as $Tesla Motors(TSLA)$ with a surge of +169.26%. $Alphabet(GOOG)$ $Tesla Motors(TSLA)$ $NVIDIA Corp(NVDA)$ $Amazon.com(AMZN)$<
💰After Fed's Decision, Who will be the King Winners among MAG7 Stocks?

Central Banks in Focus Amid Market Rebound and AI Optimism

As global markets navigate a volatile economic landscape, central bank decisions are taking center stage. The European Central Bank (ECB) is widely expected to cut interest rates again this Thursday, while the Federal Reserve prepares for its own rate-cut decision next week. In the background, financial markets are responding to inflation data, labor market trends, and a surge of enthusiasm in AI-driven technology stocks. This report provides an overview of the latest developments in monetary policy and market dynamics Central Bank Actions and Currency Movements European Central Bank Poised for Rate Cut The ECB is anticipated to reduce interest rates for the second time this cycle as the European economy continues to struggle with slow growth. Inflation remains a persistent concern, and th
Central Banks in Focus Amid Market Rebound and AI Optimism

How the First Fed Rate Cut Impacts SGX Stocks: Key Sectors Set to Benefit

What Happens When the Fed Cuts Rates for the First Time?The Federal Reserve typically lowers interest rates to stimulate economic activity during recessions or slowdowns, which often benefits the stock market.This analysis examines the performance of the S&P 500 following a rate cut, focusing on forward returns and drawdowns over the next 12 months. The results largely hinge on whether the rate cut signals an upcoming recession.Not every rate cut leads to a recession, nor does every recession bring a bear market. The chart below illustrates a range of potential outcomes, helping investors navigate the complex narrative around rate cuts and avoid misleading conclusions.Josh Brown points out two crucial takeaways for investors:The average drawdown in the 12 months following the first rat
How the First Fed Rate Cut Impacts SGX Stocks: Key Sectors Set to Benefit
avatarAI_Dig
09-21

Why Are AVGO, TSMC & Arm Surging?

AI stocks soared in response to the Fed's decision to cut the benchmark interest rate by 50 basis points. The federal funds rate now stands at 4.75%-5%, and the Fed hinted at two more cuts by year-end, each by 25 basis points.Despite some market volatility following the announcement, investors were thrilled, pushing major indices higher. The $S&P 500(.SPX)$ was up 1.5%, and the $NASDAQ(.IXIC)$ climbed 2.3%. Growth stocks, especially those tied to AI and capital investments, saw particularly strong performance.AI Stocks Soared $Broadcom(AVGO)$ rose 4%, $Taiwan Semiconductor Manufacturing(TSM)$ jumped 4.3%, and
Why Are AVGO, TSMC & Arm Surging?