50 bps! Ready to Embrace Rally or Sell the News?

On September 18, 2024, the Fed cut rates by 50 basis points to 4.75%-5%. This is the first cut since March 2022. The Fed forecasts a total of 100 basis points in cuts for 2024 and another 100 basis points in 2025. The Dow Jones and S&P 500 both hit record highs during the trading session but soon gave back some gains. All three major indices turned negative, with the Dow down 0.25%, the Nasdaq down 0.31%, and the S&P 500 down 0.29%. ---------------- Will 50bps continue to boost market higher or time to sell the fact?

avatarWallStreet_Tiger
09-19 17:24

Amazon Could Benefit from Rate Cuts

The Fed is expected to continue its rate cut cycle until 2026, which will bring multiple benefits to consumers and businesses. $Amazon.com(AMZN)$ could be a significant beneficiary of this trend, potentially continuing its long-term upward trajectory.A Look Back at Q2 EarningsWhen Amazon reported its second-quarter earnings in early August, the results were a mixed bag. While revenue grew slightly over 10% year-over-year, it missed the mark by nearly $800 million. The guidance for the current quarter was also somewhat tepid.However, the company's net income nearly doubled to about $13.5 billion, driven partly by a surge in cash flow. As of June 30, Amazon's net cash position exceeded $26 billion. With over $89 billion in cash and securities, and
Amazon Could Benefit from Rate Cuts
avatarCapital_Insights
09-19 19:08

Fed Rate Cut: How Wall Street Interprets the Development

The US Federal Reserve (US Fed) has cut the target range for the federal funds rate by 50 basis points (bps), from 5.25 - 5.5% earlier to 4.75 - 5.00% on Wednesday, the first time since 2020. The cut comes amid concerns regarding the job market in the US, and ahead of the US presidential elections in November 2024.Policymakers, according to reports, expect the Fed's benchmark to fall another half of a percentage point by 2024-end, and another one per cent in 2025.After this move, analysts expect the US central bank to now go slow on its rate cutting trajectory, remain data dependent, and also watch the outcome of the US presidential polls on November 5.U.S. futures jumped on Thursday. Dow Futures rose nearly 1%, Nasdaq 100 futures rose nearly 2%, S&P 500 futures rose more than 1%.The l
Fed Rate Cut: How Wall Street Interprets the Development
avatarTiger_Contra
09-19 18:35

Fed Cuts 50bps,šŸŽ‰STI Towards 17Yrs High, Open Cash Boost Account Now!šŸ„³

Hi Tigers[Heart][Heart][Heart]The Federal Reserve's 50bps interest rate cut has landed! The $Straits Times Index(STI.SI)$ is heading towards a 17-year high!Check out the top SREITs and chip stocks yields to capitalize on the wave of high dividends.And it's the right time to take advantage of the CBA account![Allin][Allin][Allin][USD][USD][USD]On September 18, 2024, the Federal Reserve announced a 50 bps cut in the target range for the federal funds rate, bringing it down to between 4.75% and 5.00%.However, the Monetary Authority of Singapore has not yet followed the United States' lead in cutting interest rates, instead choosing to maintain its current monetary policy unchang
Fed Cuts 50bps,šŸŽ‰STI Towards 17Yrs High, Open Cash Boost Account Now!šŸ„³
avatarJacksNiffler
09-19 16:20

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.Itā€™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"!
avatarDoTrading
09-19 16:23

Fedā€™s Half-Point Rate Cut Fuels Optimism for Soft Landing as Global Markets React

Global markets are responding to the Federal Reserve's decision to kick off its rate-cutting cycle with a half-percentage-point reduction, signaling the start of what many hope will be a controlled path toward stabilizing the US economy. Investors are closely watching the central bankā€™s approach, with Fed Chair Jerome Powell cautioning that future rate cuts may proceed at a slower pace than some anticipated. As the dust settles, the Treasury market, global equities, and major currencies have reacted in various ways to the Fed's move, while focus shifts to the upcoming decisions from the Bank of England (BOE) and Bank of Japan (BOJ). Fedā€™s Decision and Market Reaction Fed Kicks Off Rate Cuts with a Bang The Fed delivered a bold half-point cut to the federal-funds rate, bringing the new ta
Fedā€™s Half-Point Rate Cut Fuels Optimism for Soft Landing as Global Markets React
avatarKczx
04:39
The Federal Reserve just announced a 50 basis point (bps) rate cut, and Iā€™m feeling optimistic about the stock marketā€™s future. This move signals the Fedā€™s commitment to supporting economic growth, and itā€™s great news for investors. A 50bps cut means lower borrowing costs for businesses, which can spur investments, expansion, and hiring. When companies can borrow at cheaper rates, they tend to invest more in growth, driving up profits and, ultimately, stock prices. Additionally, lower rates make bonds less attractive, so more money could flow into stocks, pushing prices higher. Weā€™ve already seen strong market momentum in recent months, and this rate cut could be the fuel to keep things going. Lower rates also tend to boost consumer spending, which benefits companies across sectors. With t

What should investors care about after first 50bps rate cut?

The 50 basis point rate cut to start the cycle surprised at least half of investors.There are 25 basis points is the compensation for July.Many investors in the market point of view is that July can open the rate cut, and Powell in order to "stabilize" hard to see two more months of data off to September.The 50 basis points, in fact, is 25 basis points in September, plus 25 basis points in July compensation!Even 50 basis points, still behind the curve.According to the Fed's own point of view, this time is "calibrated policy stance" - do not want to fall behind the curve, but also do not want to signal the risk of recession, so the action to see at first glance seems to be very large, in fact, just behind the market too much to add.For the first time did not give the market "clear signal".P
What should investors care about after first 50bps rate cut?
avatarHENDRICK
09-19 19:43
The recent Fed interest rate cut is likely to benefit sectors that are sensitive to borrowing costs and consumer spending. Specifically, cyclical sectors like consumer discretionary, utilities, and real estate investment trusts (REITs) tend to perform well after a rate cut. Lower interest rates reduce borrowing costs, encouraging both corporate expansion and consumer spending, especially on big-ticket items such as cars and electronics. Here are three stock recommendations from sectors likely to benefit: 1. Amazon (AMZN) - As a major player in consumer discretionary, Amazon benefits from increased consumer spending when borrowing costs decrease. 2. Tesla (TSLA) - Tesla, part of both the consumer discretionary and industrial sectors, may see more demand for its vehicles as financing becom
avatarTiger_chat
09-19 12:48

šŸ’°3 Questions for Tigers After Fed's 50bps Rate Cut

THE FED DECISION IS OUT! The Fed shocked the world today.Rates have been cut by 50 bps. It marked the first Fed decision since 2005 with a Fed member dissenting.What should investors care about after first 50bps rate cut? @MaverickWealthBuilder Rate Cut Trading 2ļ½œlanding or crashingļ¼Ÿ how to grasp the interest rate cut cycleļ¼ @Tiger_Academy Hereā€™s a visual overview of the Fed Funds Rate, including the latest cut:@carbonfinancexThe $S&P 500(.SPX)$ rises to a new all time high after the Fed surprise
šŸ’°3 Questions for Tigers After Fed's 50bps Rate Cut
avatarTiger V
09-19 08:33

Fed Cuts Rates as Economic Concerns Loom

Overview of Global Markets The 50 basis points (bps) cut by the US Federal Reserve has sent ripples through global financial markets. As the first reduction since the pandemic, this move marks a pivotal shift in monetary policy aimed at staving off potential economic weakness. Investors are recalibrating expectations for economic growth, labor market performance, and interest rates as they digest the implications. While US markets responded with cautious optimism, other global markets are closely monitoring the potential spillover effects. US Market: Fed's Aggressive Action The Federal Reserveā€™s decision to lower the federal funds rate to a target range of 4.75%-5.00% signals a more proactive approach to combating economic pressures. While the move aims to ease financial conditions and p
Fed Cuts Rates as Economic Concerns Loom
avatarTiger V
09-19 08:40

Global Markets End Mixed Amid Fed Rate Cut and Economic Data

Overview: Mixed Reactions Across Global Markets Global markets saw a mixed performance on September 18, 2024, as investors digested the Federal Reserveā€™s interest rate cut and economic data from various regions. While US and European markets closed lower, Asian markets posted modest gains ahead of the Federal Reserveā€™s decision. Uncertainty about future monetary policy direction kept volatility high across markets. US Markets: Fed Rate Cut Fails to Lift Stocks The US stock market ended the day in negative territory following a volatile session. The Dow Jones $DJIA(.DJI)$  dropped 103.08 points (-0.2%) to close at 41,503.10, and the S&P 500 $S&P 500(.SPX)$ 
Global Markets End Mixed Amid Fed Rate Cut and Economic Data
avatarTigerClub
09-18 16:28

šŸŽWhat the Tigers Say | S&P New High: Will Rate Cut Push Higher or Sell the News?

During yesterday's intraday trading, both the S&P 500 and the Dow Jones reached new highs.Several institutions have once again raised their year-end target prices for the S&P 500.There is still significant disagreement in the market about whether the Fed will cut rates by 25 bps or 50 bps this time.Will rate cut continue to boost market higher or time to sell the fact?šŸŽSpecial Notes: Whoever showed up on theā€ What the Tigers Sayā€ column will receive 100 Tiger Coins and an exclusive interview invitation to honor your contribution.Click titles to read the full analysis:1. @Chris Luk: Fed Rate Cut Dilemma: Will a 25 or 50 Basis Point Move Propel Markets or Trigger
šŸŽWhat the Tigers Say | S&P New High: Will Rate Cut Push Higher or Sell the News?

50bps!! How the Option Market Cope With?

Hello everyone! Today i want to share some macro analysis with you!1.Fed's Powell Says Squarely Focused On Our Goals; Economy Strong Overall; Economy Is Strong Overall; Committed To Maintaining Economy's Strength; Fed Reduced Amount Of Policy Restraint Today; Our Decision Today Reflects Growing Confidence That Strength In Labor Market Can Be Maintained2. $S&P 500(.SPX)$ dropped 0.29% after FOMC. We saw 2 attempts at all time highs at 5670 this week. We can see one more shakeout in the 5568-5600 before the next run up to 5800+. One more day of consolidation possible then a big bounce on Friday can happen. Be patient šŸ™šŸ“ˆ3.TRADE PLAN for Thursday āœ… $S&P 500(.SPX)$ lower today after FOMC/Powell. SPX re
50bps!! How the Option Market Cope With?
avatarChris Luk
09-19 04:35

Analyzing the Market Reaction to the Fed's 50 Basis Points Rate Cut

On September 18, 2024, the Federal Reserve took a decisive step by reducing the federal funds rate by 50 basis points, marking a significant shift in U.S. monetary policy. This move, aimed at supporting a softening labour market and controlling still-elevated inflation levels, led to a variety of immediate reactions in financial markets, reflecting the complex interplay of investor expectations, economic indicators, and monetary policy. Market Movements The stock market initially reacted positively, with major indices like the S&P 500 and the Dow Jones Industrial Average hitting the dayā€™s highs shortly after the announcement. This rally was underpinned by the relief among investors who had been anticipating aggressive action from the Fed to counteract recent economic slowdowns. Howeve
Analyzing the Market Reaction to the Fed's 50 Basis Points Rate Cut
avatarTiger_James Ooi
09-19 16:36

Fed cuts rates by 50bp. Whatā€™s next?

Summary: The FOMC cuts rates by 50 basis points, bringing the federal funds rate to a range of 4.75% to 5%. The latest Fed Dot Plot suggests there will be another 2 cuts (50bp) by 2024, followed by 4 more cuts (100bp) in 2025. However, traders are expecting more cuts (3 additional cuts by 2024, followed by 6 more in 2025), according to CME FedWatch.  Conclusion: The Fedā€™s significant rate cut of 50bp shows its determination to stay ahead of the curve and prevent a hard landing. Market participants now believe the U.S. economy is headed for a soft landing at worst. While it looks like stocks are poised to rally, thereā€™s a possibility that investors have already priced in much of the anticipated 2024 and 2025 rate cuts. Investors should be cautious of the election uncertainties t
Fed cuts rates by 50bp. Whatā€™s next?

What's the Gold Final Trend to 50BP Rate-Cutting?

Hello everyone! Today i want to share some macro analysis with you!1. $Gold - main 2412(GCmain)$ Wednesday (September 18) the New York session of the gold market fluctuated violently, after the Federal Reserve cut interest rates by 50 basis points, spot gold once refreshed a new record high, but Powell's speech made the price of gold from the highs fell sharply, and once fell below 2550.The Fed did initiate a rate cut on Wednesday as expected, announcing a 50 basis point cut. The Fed also expects the federal funds rate to be around 4.4% by the end of 2024.Fed policymakers decided to lower borrowing costs because they are increasingly confident that inflation is moving ā€˜sustainablyā€™ towards the Fed's 2 per cent target. However, they acknowledge
What's the Gold Final Trend to 50BP Rate-Cutting?
avatarStickyRice
09-19 10:50
Slashed.  The Federal Reserve lowered its benchmark interest rate by half of a percentage point this afternoon, starting the next phase of the policy cycle with a bang. Officials are squarely focused on a slowing U.S. labor market, with inflation still too high but closing in on the central bankā€™s 2% annual target. The Federal Open Market Committee now has a new target range for the federal-funds rate of 4.75% to 5%, after holding rates steady since July 2023. Market pricing was all over the place in the week before the meeting, with odds shifting between quarter- and half-point reductions. The bigger move is an effort to front-load cuts and get ahead of further weakening in the jobs market. The median estimate in the latest so-called "dot plot" implies a fed-funds rate target range o
avatarvaizardboy
09-19 22:53
Money will inevitably flow from low risk assets to higher risk assets. Interesting to see how far equities and crypto can go before the eventual pullback happens, if any.
avatarTrendSpider
09-19 11:54

SPY, NVDA, GLD, BTC& PYPL Enjoy Great Potential Here!

Hello everyone! Today i want to share some technical analysis with you!1. $SPDR S&P 500 ETF Trust(SPY)$ Send it all the way back to 0% 2. $BTCUSD(BTCUSD.DBSCC)$ 8/21 EMA long strategy took another entry this week šŸšØBlue line shows the mean change % after entry since the start of 2023:3. $PayPal(PYPL)$ continues to outperform the majority of stocks this quarter...Never thought I'd say that. šŸ˜† 4. $NVIDIA Corp(NVDA)$ The coil up continues. šŸ5. $SPDR Gold Shares(GLD)$ Gold absolutely loving that 50bps cut right now. šŸ„‡Follow me to learn more about analysis!!https://x.com/Tre
SPY, NVDA, GLD, BTC& PYPL Enjoy Great Potential Here!
avatarSamlunch
09-19 18:07
$SPDR S&P 500 ETF Trust(SPY)$  $Invesco QQQ(QQQ)$   I did not like the 50bps. But the narrative was pushed really well by Powell. He basically switched gears to we did not do anything in July so 50bps is good start for Sept. $TSLA $FSLR $ENPH should do well in this environment. They also talked about a cut of 150bps more coming up. Without a timeframe and the speed at which they will cut. I think I will still stick to 2026 recession irrespective of who the President is. Will the price be any lower than today with that correction then? I doubt it!