Kevin Warsh’s First Fed Meeting, Inflation and the Future of the Tech Rally

“A rising tide lifts all ships” means that when the overall stock market is moving higher, many individual stocks tend to rise along with it. But can the current technology-driven rally continue, or are investors becoming too dependent on a small group of major companies?In this episode, we discuss Kevin Warsh’s first interest-rate decision as Federal Reserve chair and why we believe keeping rates unchanged was the right move. Warsh delivered a disciplined message, explaining that the Fed has a plan but does not want to make unnecessary projections about an uncertain future. His decision to move away from traditional forward guidance may be good for long-term investors who want markets to operate on economic fundamentals, but more difficult for short-term traders looking for clues about the Fed’s next move. Warsh also announced expert task forces that will examine major issues facing the Fed, including communication, inflation measurement and the quality of economic data.We also discuss Hillary Clinton’s surprising support for President Trump’s Gaza plan, the difference between headline CPI and core CPI, what fiat currency actually is and whether the broader market can continue benefiting from the strength of technology stocks.Hosted by James Walters, CIMA®, CRPC®, and Brandon West, CPA, co-owners of West & Walters Tax and Wealth Management, a Registered Investment Advisor (RIA) and tax firm based in Carlsbad, California. Our goal is to share market insights, investing tips, tax strategies, and straightforward financial education to help viewers make smarter financial decisions. All Information is educational in its intent and distribution! Please do not consider this personal financial advice. We believe all clients have unique situations and thus require unique advice.