Richard Bernstein weighs in on the Fed’s movements, advocating that the Fed will take a “wait-and-see approach” and delay cuts. Read the Barron's article: https://lnkd.in/d7zYnxMD
Jerome Powell’s keynote address this Friday at the Federal Reserve’s annual Jackson Hole Monetary Policy Symposium may lay the groundwork for a September start to lowering interest rates. The upcoming shift is spurred by the deceleration of inflation toward the central bank’s 2% annual target and policymakers’ desire to get ahead of a softening labor market. With a September rate cut all but assured, the debate on Wall Street increasingly is shifting to what the easing cycle will look like thereafter. Importantly, the path of the rate-cut cycle will depend on why the Fed is cutting. Will it lower interest rates to rescue the economy from a recession, or merely normalize rates that have grown too restrictive in a soft landing? In this weekend's Barron's: https://lnkd.in/emDhbVR4