S&P 500 Index and Fed Insurance Rate Cut
S&P 500 Index and Fed Insurance Rate Cut Chart suggesting around 5% upside for the S&P 500 Index through mid-2020. Image: J.P. Morgan
S&P 500 Index and Fed Insurance Rate Cut Chart suggesting around 5% upside for the S&P 500 Index through mid-2020. Image: J.P. Morgan
Fed Rates Cut While The S&P 500 Traded Within 2% of a 4 Years All-Time High Don’t fight the Fed, when the Fed cuts rates while the S&P 500 trades at all-time highs. Image: Pictet Wealth Management
Number of Fed Rate Hikes/Cuts Expected Over Next 12 Months Fed funds futures imply two further rate cuts over the next 12 months. Image: Credit Suisse Research
U.S. Leading Economic Indicators (LEI) and Fed Insurance Rate Cuts This chart shows that Fed insurance rate cuts can be good news when the U.S. economy slows down. Image: Scotiabank
Forward Performance Following First Fed Funds Rate Cuts After first Fed rate cut, the S&P 500 performance is quite attractive on average when no recession. You may also like “Dow Jones Industrial Average Around First Fed Rate Cut.” Image: Strategas
The Fed Fund Futures Market Is Pricing Three Rate Cuts Over the Next 12 Months According to CME Group, the Fed fund futures market is pricing three rate cuts over the next 12 months. You may also like “Markets Have Accurately Priced in Cuts before Easing Cycles Begin“ Image: Bianco Research LLC
Market-Implied Change in Fed Funds Rate Traders are anticipating a total of 75 bps in interest rate cuts by the Federal Reserve over the next 12 months. Image: Goldman Sachs Global Investment Research
Fed Funds Rate – Target Probabilities at the Fed’s FOMC Meeting In light of Fed chair recent comments, market expectations for a rate cut at the upcoming FOMC meeting on December 18, 2024, have shifted. Traders now estimate a 61.9% probability of a 25 basis point rate cut at this meeting. Image: CME Group
S&P 500 Performance After Fed Cuts Within 2% of All-Time Highs Since 1980, the combination of an S&P 500 near all-time highs (within 2%) and Fed rate cuts has historically signaled a bullish 12-month outlook, with an average return of 13.9%. Image: Carson Investment Research
Global Equities Around Fed Cut With And Without Recession Global equities typically show strong performance following the Fed’s first rate cut, when the economy avoids a recession during the next 12 months. Image: Goldman Sachs Global Investment Research
Performance of S&P 500 Around the First-Rate Cut The S&P 500 typically shows strong performance following the Fed’s first rate cut, when the U.S. economy avoids a recession during the next 12 months. Image: MarketDesk Research