How to prepare for rate cuts

The market is pricing in at least 200 basis points worth of rate cuts through next year. The market is pricing in at least 200 basis points worth of rate cuts through next year.                                                                                                      [Header]( How to Prepare for Rate Cuts Dear reader, The CME FedWatch Tool has the odds of the Federal Reserve beginning its interest rate cut cycle at its September 18 meeting at 100%. And there are greater than three-in-four odds that it will lower interest rates by at least 100 basis points (1%) by the end of the year. The central bank is expected to keep lowering rates throughout 2025. As you can see in the chart below, there’s a 50% chance that the fed funds rate will be in the 2.75%-3.25% range by the end of 2025. [Fed Watch] Today, the fed funds rate is sitting between 5.25% and 5.50%. That means the market is pricing in at least 200 basis points worth of rate cuts through next year. Now, let’s put that into context… The FedWatch Tool had previously expected the Fed to begin lowering rates several months ago,  but that never happened. So a lot – and I mean a lot – can happen over the next 16 months. I’ll keep you up date here in Market Insights, and becoming a member of [my premium investment newsletter The McCall Letter]( will put you in an even better position for success. But in the meantime… what does all this jargon mean for you?! Everyone knows that the Fed is embarking on a rate cut cycle. Is that good or bad for stocks? And considering there’s always a bull market somewhere, where might that be over the next 16 months? I cover all that and more in [today’s video update](. I also discuss the potential of a “sell the rumor” scenario – in which investors buy now ahead of the cut cycle beginning and then sell when it actually happens. Plus, which sectors you should focus on as that September meeting date gets closer. Check out the video below for more… [MMI Aug 26]( Here’s to the future, [Matt McCall signature] Matt McCall Editor, Market Insights Check Out My Latest Podcast [STEP 13]( Whether you’re bullish or bearish on the stock market today is a topic we can always debate. What’s not worth debating is that broad volatility has been increasing over the past couple months. I remain bullish on stocks over the long term. But that doesn’t mean I’m ignoring the fact that several known catalysts could continue to increase volatility in the months ahead. That our focus on [this episode of the SteadyTrade Podcast](. First up is the Federal Reserve meeting on September 18. The presidential election takes place in early November. And then there’s the fact that September is historically one of the worst months of the year. This is an episode anyone investing in the market – whether you’re a trader or long-term investor – should watch. [Click here to learn more.]( [Centurion Logo]( © Centurion Publishing 13809 Research Blvd, Suite 500, Austin, TX 78750 *Results are not typical. Past performance does not indicate future results. All investing carries risk. Our Privacy Policy, along with our Term & Conditions, governs your use of this site. By using our site, or by accepting the Terms of Use (via opt-in, checkbox, pop-up, or clicking an email link confirming the same), you agree to be bound by our Terms & Conditions and our Privacy Policy. If you have provided personal, billing, or other voluntarily provided information, you may access, review, and make changes to it via instructions found on the Website or by replying to this email. To manage your receipt of marketing and non-transactional communications, you may unsubscribe by clicking the “unsubscribe” link located on the bottom of any marketing email. Emails related to the purchase or delivery of orders are provided automatically – Customers are not able to opt out of transactional emails. We will try to accommodate any requests related to the management of Personal Information in a timely manner. However, it is not always possible to completely remove or modify information in our databases (for example, if we have a legal obligation to keep it for certain timeframes, for example).If you have any questions, simply reply to this email or visit our website []( to view our official policies. To Unsubscribe [Click Here](