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Smith: Fed 'Making a Mistake' with October Rate Cut
Manage episode 516335450 series 3645668
Dean Smith believes the Fed has already telegraphed a 25bps rate cut for its October meeting. However, he thinks the central bank is making a mistake. Dean dives into the latest non-farm payrolls data and examines the slowdown in jobs growth as a reason why the Fed's rate cut won't "do anything" to bring those workers back. In terms of the Fed's dual mandate, he stresses that the focus should remain on inflation and not the labor market. Dean says hedging exposure and reducing duration might be a good strategy to employ, looking at FolioBeyond's RISR ETF as one way to approach the current market landscape.
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8501 episodes
Manage episode 516335450 series 3645668
Dean Smith believes the Fed has already telegraphed a 25bps rate cut for its October meeting. However, he thinks the central bank is making a mistake. Dean dives into the latest non-farm payrolls data and examines the slowdown in jobs growth as a reason why the Fed's rate cut won't "do anything" to bring those workers back. In terms of the Fed's dual mandate, he stresses that the focus should remain on inflation and not the labor market. Dean says hedging exposure and reducing duration might be a good strategy to employ, looking at FolioBeyond's RISR ETF as one way to approach the current market landscape.
======== Schwab Network ========
Empowering every investor and trader, every market day.
Subscribe to the Market Minute newsletter - https://schwabnetwork.com/subscribe
Download the iOS app - https://apps.apple.com/us/app/schwab-network/id1460719185
Download the Amazon Fire Tv App - https://www.amazon.com/TD-Ameritrade-Network/dp/B07KRD76C7
Watch on Sling - https://watch.sling.com/1/asset/191928615bd8d47686f94682aefaa007/watch
Watch on Vizio - https://www.vizio.com/en/watchfreeplus-explore
Watch on DistroTV - https://www.distro.tv/live/schwab-network/
Follow us on X – https://twitter.com/schwabnetwork
Follow us on Facebook – https://www.facebook.com/schwabnetwork
Follow us on LinkedIn - https://www.linkedin.com/company/schwab-network/
About Schwab Network - https://schwabnetwork.com/about
8501 episodes
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