Victor Rivera’s Post

Federal Reserve decided to maintain the target range for the federal funds rate at 5-1/4 to 5-1/2 percent. In considering any adjustments to the target range for the federal funds rate, the Committee will carefully assess incoming data, the evolving outlook, and the balance of risks. The Committee does not expect it will be appropriate to reduce the target range until it has gained greater confidence that inflation is moving sustainably toward 2 percent. #fomc #2024outlook #marketpredictions #globaleconomics #financialmarkets #cfoinsights #growth #inflation #bondmarket #treasury #currencies #rates

Our Latest Market Summary report is live at https://lnkd.in/eMXV9H3T Learn more about the latest with monetary policy and what's the Federal Reserve attempting to do with inflation. #creditunions #communitybanking #modelriskmanagement #deposits

The U.S. Federal Reserve has reduced the pace of quantitative tightening with a new monthly roll off cap of $25 billion of Treasury securities, down from $60 billion*. At the new pace, it would take until 2026 to reach a level of excess reserves matching the pre-pandemic level of just over 7% of nominal GDP**. *Source: U.S. Federal Reserve, May 2024. **Source: Federal Reserve, Macrobond, MIM, May 2024.

The market now confidently expects interest rate cuts in 2024, but in its Panglossian view of the world is ignoring the level of financing and re-financing which western governments have to undertake during the year.  The U.S. is increasingly relying on short-term financing (i.e., T bills rather than coupon-paying bonds) to do this, and I question whether that is any different from the Asset Purchase Programme they undertook during QE. The Federal Reserve may indeed have no good options left now, but it seems to me that the end-game is now increasingly clearly monetary debasement and eventually much higher inflation.  #bondyields #interestratecuts #magicmoneytree #monetarydebasement

The Federal Reserve kept the benchmark interest rate unchanged at its meeting earlier this week on high inflation in January and February.⁣ ⁣ Click for more info: https://bit.ly/3xdF41O⁣ ⁣⁣⁣⁣⁣⁣ #kellerwilliamsrealty #realestate #realtors #floridarealtor #southfloridarealestate #articles #realestateinvenstment #buildwealthinrealestate #realestateexpert #realestateadvice #investment #strategy #people #investing #investinginrealestate #investmentproperty #investmentopportunity #investmenttips #investmentstrategies #investmentrealestate #investmenthome

Federal Reserve officials on Wednesday held short-term interest rates steady but indicated that inflation is getting closer to its target, which could open the door for future interest rate cuts. Central bankers made no obvious indications, though, that a reduction is imminent, choosing to maintain language that indicates ongoing concerns about economic conditions, albeit with progress. They also preserved a declaration that more progress is needed before rate reductions can happen. Here's a look at the federal funds target rates over the years. Learn more: cnb.cx/3YrdidV

✔𝗙𝗲𝗱𝗲𝗿𝗮𝗹 𝗥𝗲𝘀𝗲𝗿𝘃𝗲 𝗧𝗮𝗸𝗲𝘀 𝗖𝗮𝘂𝘁𝗶𝗼𝘂𝘀 𝗦𝘁𝗮𝗻𝗱 𝗢𝗻 𝗜𝗻𝗳𝗹𝗮𝘁𝗶𝗼𝗻, 𝗣𝗼𝘄𝗲𝗹𝗹 𝗦𝗶𝗴𝗻𝗮𝗹𝘀 𝗣𝗿𝗲𝗳𝗲𝗿𝗲𝗻𝗰𝗲 𝗙𝗼𝗿 𝗥𝗮𝘁𝗲 𝗖𝘂𝘁𝘀 𝗢𝘃𝗲𝗿 𝗛𝗶𝗸𝗲𝘀 In recent developments, Federal Reserve Chairman Jerome Powell's remarks following the May Federal Open Market Committee (FOMC) 𝗙𝗼𝗿 𝗺𝗼𝗿𝗲 𝗶𝗻𝗳𝗼𝗿𝗺𝗮𝘁𝗶𝗼𝗻 📕Read-https://lnkd.in/dKtQ9jZy and get Insights #FederalReserve #Inflation #Powell #InterestRates #MonetaryPolicy #EconomicOutlook #RateCuts #RateHikes #CentralBanking #MarketTrends #FinancialNews #EconomicIndicators #MrBusinessMagazine

The FED are slow walking the rate cuts. PREDICTION: The Market will start to price in rate cuts. 4% boost in general indexes (DOW, SP500) in 2 weeks leading up to governors meeting. Then 1 - 2% the day of or day after rate cut.

This chart from the Federal Reserve shows the extraordinary amount of cash that could be invested in the markets if rates fall in the next couple of years. Stay bullish.