• November 7, 2024

Why Trump's Boost To Treasury Yields, Inflation Expectations May Weaken Fed's Efforts To Cut Interest Rates

Rising U.S. Treasury yields and a strengthening in the value of the dollar in the wake of Donald Trump's return to the White House are threatening to counteract the Federal Reserve's efforts to lower interest rates. The Federal Reserve is expected to cut its benchmark interest rate by 25 basis points on Thursday, marking a back-to-back reduction and bringing the policy rate to a range of 4.5%-4.75%, the lowest since February 2023. The bond market appears less influenced by the Fed's dovish stanc

  • November 7, 2024

U.S. Stocks Set to Extend the Trump Rally. Now the Fed’s In the Hot Seat.

Will the Federal Reserve pour cold water on the rally? The Fed’s monetary-policy meeting ends on Thursday and while its decision is not in doubt, the market will be watching carefully for whether the central bank introduces any note of caution into its rate-cutting plans after Trump’s win. Dow Jones Industrial Average futures were up 37 points, or 0.1%.