r/wallstreetbets • u/abishop717 • 1d ago

Discussion 5 rate cuts 😮

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2.3k Upvotes

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947

u/superhappykid 1d ago

Nice, enjoy that 1.25% Rate cut when you buy your $1600 iphone.

-3

u/Cropitalist 1d ago

I’ll save $40k on a mortgage over a $300 markup on a phone every 4 years.

9

u/alchemist615 1d ago

That may be true ... But you forgot that all other prices will be going up 9-10%. If you think groceries are expensive now, just wait....

-3

u/Cropitalist 1d ago

Tariffs probably won’t last forever, hopefully gone this year. But if we can lock into fixed rate loans 1.25% lower, you’d save a lot in the long run.

3

u/alchemist615 1d ago

The only net positive would be if the government can refinance the $7-8 trillion at super low rates and then they immediately drop the tariffs. Of course that means the fed will need to purchase huge amounts of government debt....

Perhaps that is their "grand plan". However, I'm not sure that much thought has went into it....

2

u/Meat__Head 1d ago

💯

1

u/btdawson 1d ago

I’d lock into a 5.25 and buy it down a full percent because fuck it. Never gonna see 4.25 again anyway

1

u/Cropitalist 1d ago

At this rate, maybe we will see 4s in the next couple of years.

1

u/btdawson 1d ago

I’d much rather lock my 4 on now

1

u/adrr 1d ago

Replacing income tax