FED CUTS RATES AND ENDS BALANCE SHEET REDUCTION! Stock Market Drops 300 Points!

This was the most anticipated Fed meeting since the Fed started increasing rates in this cycle. The markets had been begging and pleading with the Fed for a new round of easing, even as stocks hit record highs. Unfortunately, this may not have been enough. The markets really wanted 50 basis points but they committed to further rate cuts, so they won’t have to wait long. This was widely expected and now a pivotal point in the cycle has been achieved.

“Global growth has slowed down since the middle of last year”
“Manufacturing down globally”
“Business slowing down globally”
“There is really no reason why the expansion can’t keep going”
“Consumer economy is 70% of the total”
“A downturn. There will eventually be one”
“Living in a new normal”

Fed Decision: Interest rates cut by 25 basis points after FOMC Meeting
https://www.cnbc.com/2019/07/31/fed-cuts-rates-by-a-quarter-point.html
The two words from Jerome Powell that rocked the financial markets
https://www.cnbc.com/2019/07/31/the-two-words-from-jerome-powell-that-rocked-the-financial-markets.html
Federal Reserve Board - Federal Reserve issues FOMC statement
https://www.federalreserve.gov/newsevents/pressreleases/monetary20190731a.htm
Stocks plunge after Fed cuts rates—here's what experts are saying