FED RATE CUT SCENARIOS :-
🟢 Bullish Scenario
• Fed cuts 0.25% and signals more cuts likely.
• Stocks surge (especially tech, housing, and consumer discretionary).
• Bond yields fall further; dollar weakens.
• Risk assets (crypto, emerging markets) rally as liquidity improves.
⚪ Neutral Scenario
• Fed cuts 0.25% but emphasizes “wait and see” with no clear guidance on more cuts.
• Stocks see a mild bounce then flatten.
• Bonds steady, dollar mixed.
• Markets stay range-bound until more data arrives.
🔴 Bearish Scenario
• Fed cuts 0.25% but warns about persistent inflation or external risks.
• Stocks drop after an initial spike.
• Bond yields stay sticky; dollar strengthens.
• Risk assets fall as markets fear slower or no further easing.
Be prepared for anything.
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