'Buy Everything!' Says Wall Street As Fed Signals 3 Rate Cuts Are Coming | Axel Merk

Dovish surprise outlook ignites the markets higher

Yesterday the Federal Reserve Market Committee announced it has chosen to keep the Federal Funds Rate steady for now, but when that changes, a rate cut is much more likely than a rate hike.

In fact, the FOMC now expects it's probable it will cut rates three times in 2024.

Following the release of this announcement, Fed Chair Jerome Powell held a press conference where he clarified the Fed's thinking.

Powell projected a largely positive vibe, pleased that inflation is declining, economic growth is slowing from the frothy levels seen in Q3, and that the labor market is "coming back into balance". He no longer expects a recession in 2024.

Stocks, bonds, commodities and nearly ever other financial asset shot higher on the news and continued their ascent in today’s trading action.

So, is this this "all clear"?

Is it time for the bulls to run?

Or may history repeat itself, as most recessions follow the first rate cuts made after a hiking regime?

To find out, I sat down with experienced Fed-watcher Axel Merk of Merk Investments, and took live audience Q&A from this Substack’s premium subscribers.

To hear Axel’s well-informed reaction to the Fed’s surprising dovish guidance, click here or on the image below:

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