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This might shock you but it needs saying as S+P 500 futures turn red

Earlier this year the US investment banking giant, Goldman Sachs had pencilled in 7 rate cuts from the Fed this year. They then lowered that to 3 and since yesterday, they have now lowered that to just 2. So, what price in reality, that it turns out to be none at all? This idea was floated in updates again here yesterday. So, the Fed is now wiping the egg off their face in the absence of any reduction in US price pressure. To this analyst, US inflation now looks more embedded than ever. The problem across all the G10 central banks in 2024, is that they do not lead, they follow. So, more often than not they are behind the curve and they continue to take their lead from what the markets are telling them. Well, turning back to GS, noted at the top of this update and you can see those guys have gotten it repeatedly wrong. So, what is the point of the Fed following their like and not taking a lead? None whatsoever you might say and right now this author would whole-heartedly agree with you. Of course when GS get it wrong they can just shift their outlook and no heads role. When we get it wrong there is a price to pay with our profits. The broader US stock markets is still full of Bulls out there, but questions were definitely asked yesterday. The S+P 500 index fell back to a low at 5,138 and later closed 49 points lower, at 5,160. The index is just now priced to open at 5,147
 

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