Fed Rate and #Nasdaq100

Over the weekend, we analyzed how the market historically reacted after the Federal Reserve changed interest rates to lower them, and based on the charts above, we noted the two most famous exchange rate changes at 5-6% levels.

👉 In 2020, the interest rate reached 6.5%, after which the Fed began to decrease it, resulting in a 80% drop in the Nasdaq100.

In 2008, the interest rate reached 5.5%, after which the Fed began to decrease it, resulting in a 50% drop in the Nasdaq100.

In 2024, the interest rate reaches 5.5%, and the Fed plans to lower it for the first time in May-June.

We believe the logic is clear, and we have decided to share only historical observations 👍