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Recently, as expected, the Federal Reserve cut interest rates by 25 basis points, meeting market expectations. However, why is there a slowdown in rate cuts next year? First of all, let me clarify that I will not provide direct answers. For those who are willing to learn, I will provide hints. Please go find the answers and think independently. Interest rate cuts and hikes have different effects. Hikes mainly suppress inflation, while rate cuts mainly have three effects. What are these three effects, you can go do some research.
Why is the market reacting so strongly to Powell's slowdown in rate cuts? Because of concerns about inflation rebounding. Why? Due to Trump's tariff policies (here you can go ask "orthopedics" to learn how they are formed). If in the future inflation leads the Federal Reserve back to a rate hike path, what impact will this have on the stock market? I know this may be a bit challenging for those without financial knowledge, so I'll give the answer directly. In a situation where the U.S. economy is already in a soft landing, rather than a hard landing or face landing, combined with U.S. tech stocks, especially visible applications of AI starting up recently, as long as the rate of return on tech stocks grows higher than the Fed's rate hikes, tech stocks may show no fear of rate hikes and soar (but the premise is, as I already hinted in the narrative, remember to pay attention to the key points).
Let's briefly discuss the direction of the large cap. Based on observation and celestial calculations, the technology stocks representing Nasdaq have not met the satisfaction level of increase. Funds will need to be rotated in the future, while individual stock Indicators have been hovering near oversold levels for several days. If you think it's about to fail, I can only hope... $NVIDIA (NVDA.US)$ Indicators have been hovering near oversold levels for a few days. If you think it's about to fail, I can only hope...
Why is the market reacting so strongly to Powell's slowdown in rate cuts? Because of concerns about inflation rebounding. Why? Due to Trump's tariff policies (here you can go ask "orthopedics" to learn how they are formed). If in the future inflation leads the Federal Reserve back to a rate hike path, what impact will this have on the stock market? I know this may be a bit challenging for those without financial knowledge, so I'll give the answer directly. In a situation where the U.S. economy is already in a soft landing, rather than a hard landing or face landing, combined with U.S. tech stocks, especially visible applications of AI starting up recently, as long as the rate of return on tech stocks grows higher than the Fed's rate hikes, tech stocks may show no fear of rate hikes and soar (but the premise is, as I already hinted in the narrative, remember to pay attention to the key points).
Let's briefly discuss the direction of the large cap. Based on observation and celestial calculations, the technology stocks representing Nasdaq have not met the satisfaction level of increase. Funds will need to be rotated in the future, while individual stock Indicators have been hovering near oversold levels for several days. If you think it's about to fail, I can only hope... $NVIDIA (NVDA.US)$ Indicators have been hovering near oversold levels for a few days. If you think it's about to fail, I can only hope...
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$Tesla (TSLA.US)$ Bullish on you!! 2025
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$Advanced Micro Devices (AMD.US)$ if todah open market it tanks ill call lisa
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$Tesla (TSLA.US)$ Will it rise to five hundred tomorrow?
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$Tesla (TSLA.US)$ Decided to continue holding even if it falls, believing it is just a pullback. Now, whether to take profits from the Call options or continue to wait, it is better to take profits if the retracement is too large.
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$Tesla (TSLA.US)$ I feel like it will pull back in the intraday.
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