r/wallstreetbets • u/abishop717 • 23h ago

Discussion 5 rate cuts 😮

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u/CoughRock 23h ago

who's making these prediction for rate cut ? didn't jpowell explicitly said he's going to wait and see ?

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u/mepahl57 22h ago

The bond market makes pretty accurate predictions.

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u/wallstreetstonks 11h ago

Yeah 3-4 rate cuts seems accurate. Will tariffs cause inflation? Yes. Will growth decline (perhaps a lot), fuck ya. Unemployment higher? Certainly.

However, this is a price / inflation shock rather than a systemic underlying thing (like covid recovery) was. If anything it’ll reduce demand, reduce earnings, and slow down growth, but I can’t see elevated inflation rates longer than 3 maybe 4 months (time for tariffs to work into the economy).

That’s also assuming that there’s no reversal on tariffs, which I think there will be some deals made.