In a stunning revelation, the Capitalist Army has obtained exclusive information suggesting that the Federal Reserve is poised to implement two rate cuts before the end of 2024. This unprecedented move comes as a result of insider knowledge from one of the Inner Circle members, who reportedly sits on the board of a prominent U.S. bank. This individual claims to have seen a confidential memo from the Federal Reserve to several banking institutions, outlining the upcoming rate adjustments.
In my opinion, these rate cuts are expected to occur at the last two Federal Open Market Committee (FOMC) meetings of the year, scheduled for November (following the election) and December. This strategic timing suggests that the Federal Reserve may be anticipating an accelerated downturn in the economy during the fourth quarter of 2024.
The memo, which has not been made public, reportedly details the rationale behind the rate cuts. It is believed that the Federal Reserve is concerned about the potential for a rapid economic slowdown given the current economic data, consumer/government debt and the tightened liquidity in most markets.
While the exact details of the memo remain undisclosed, the implications of this revelation are significant. The Federal Reserve’s decision to implement two rate cuts in quick succession would mark a significant departure from its previous stance (even though I prognosticated this on TCR in Spring 2022). This move could signal a shift in the central bank’s approach to managing the economy, potentially indicating a more proactive and aggressive stance in the face of economic uncertainty.
As I’ve stated many times, once the FED lowers rates, it’s a signal that the FED has gone too far with its monetary tightening policy. It’s an attempt to being liquidity back to the markets right before an anticipated economic contraction. So financially plan accordingly.
Ghost
How about a few more consistent TCR’s to cover the markets. No offense but the AI revolution is ramping up now in co-ordinance with Agenda 2030 Internet of things. Buyers of Ai R&D facilities in the Middle east and Nvidia facing an investigation at this time is worth a bit of a dig imo.
If Jerome Powell and his administration in the Federal Reserve is not planning to cut the interest rates, then the economy will be facing a major contraction in not just the economic opportunities, but with the overall debt that continues to build in the negativity more than the positivity. Aside from the topic, a helpful reminder to turn off the TTS when you are planning/scheduling a true capitalist radio show in the future.