FOMC: The First Cut is the Deepest?

by | Sep 19, 2024 | Blog, Bonds

The debate between 25 or 50bps has been settled. It appears that markets strong-armed the Fed to front-load their first cut, where today they cut the funds rate by 50bps. This moved the target rate range from 5.25% – 5.50% to 4.75% – 5.00%.  The updated...

Jackson Hole for Now, What About DC?

by | Aug 23, 2024 | Blog, Bonds

Rate Cut Expectations   All eyes are on Jay Powell this week in Jackson Hole as he lays out the FOMC plan for the upcoming rate cut cycle. As of now, the market is pricing in ~1.25 cuts (roughly 31bps), basically a 25bps cut. Over the past weeks, we’ve bounced...

Aptus Musings: Making Sense of August 5th

by | Aug 6, 2024 | Blog, Market Updates

I’d love to cut right to the chase, but many of today’s problems can be solved by proper allocation. It’s times like these that show why Aptus is built the way we are. We want to own More Stocks, Less Bonds, Remain Risk Neutral, so we can perform better in...

July FOMC: No Change But September Likely

by | Aug 1, 2024 | Blog, Bonds

As expected, the Fed kept the funds rate range unchanged at 5.25% – 5.50%, and while the tone of the statement was less hawkish, it didn’t overtly hint that a rate cut in September was a certainty. They did make some substantive changes to the statement...