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Federal Reserve Official Cautions Markets On Premature Interest Rate Cut Expectations

Senior Fed official cautions markets may be anticipating too early rate cuts. Fed's December 'dot plot' indicated median preference for federal funds rate at 4.6%, implying reduction of 75 basis points. Market sentiment leans towards rate cuts, but Fed Chair Powell acknowledged possibility of rate reductions.

UTEN

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US Stocks Eye 7-Day Winning Streak As Mortgage Rates Fall Below 7%, Yields Tumble: What’s Driving Markets Thursday?

It’s shaping up to be a positive Thursday on Wall Street, with risk sentiment remaining robust after the Federal Reserve effectively opened the door to rate cuts in 2024.

ALGN

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With Fed Rate Cuts On The Horizon, Equity Markets Soar, Dollar Weakens, 10-Year Treasury Yield Falls Below 4%

Fed delivered what markets wanted: likely no more rate hikes & rate cuts in 2024. Interest rate-sensitive assets outperformed, with small-caps, Treasuries & gold rising, while the dollar dropped.

GLD