Invest with confidence‪!‬ Capstone Wealth Management

A weak labor market likely brings rate cuts a tad faster.  Who does that help?  In the short run - investors. But, remember, rate cuts can often be the start of a weakening investment cycle too as investors start to wonder if things are weaker than being reported.  Otherwise, why would the Fed need to cut?

Currently, markets are testing valuable TRADE momentum support.  Even though inflation is headed higher, this is not the time or place to give up on stocks or commodities.

Curent models suggest markets are ready for a sell off.  Deep?  Probably not as markets are still bullish TREND.  Don;t forget the yield curve is negative and has been now for over 15 months.  That's important since markets tend to respond to that with a 15 month lag.

Inflation IS a problem for the consumer. Inflation IS NOT a problem (for now) for stocks.  The market could stumble – BUT NOT due to inflation.

Clips of Danielle Di Martino Booth explaining that the Fed did indeed pivot. The Fed will not REfocus on employment - since it IS weakening - versus solely focusing on inflation.  Quantitative Easing is headed back into the system.  Inflationary.
Additional clip of Jared Bernstein - Biden Econ Advisor - seemingly not understandind money and markets.  

Jay Powell pivoted after the Fed presser and rate decision.