Rate Cuts = Recalibration

The Fed officially put an end to its restrictive monetary policy by cutting interest rates for the first time since March of 2020. That was back deep in the heart of Covid. After a strong recovery for the Economy and asset prices, America’s central bank launched a hiking campaign, raising rates 11 times, starting in the Spring of 2022. They took the overnight rate from zero to 5%+. That’s where they stayed for 14 months, designed to choke off the multi-decade high inflation that sprung. The Fed has now declared victory...