00:00In support of our goals and in light of the shift in the balance of risks, today
00:06At today's meeting, the committee decided to lower the target range for the federal funds rate
00:24By a quarter percentage point to four to four and a quarter percent and to continue reducing the size of our balance sheet
00:32We did welcome a new committee member today, as we always do, and the committee remains united in pursuing our dual mandate goals
00:40We're strongly committed to maintaining our independence and beyond that I really don't have anything to share
00:45It is such an unusual situation
00:47Ordinarily, when the labor market is weak, inflation is low
00:52And when the labor market is really strong, that's when you've got to be careful about inflation
00:56So we have a situation where we have two-sided risk
00:59And that means there's no risk-free path
01:02And so it's quite a difficult situation for policymakers
01:06And it's not at all surprising to me that you have a range of views
01:12It's not so much about having different views for the path of the economy
01:16But it's partly that
01:17But it's also partly about what's the right thing to do in light of this
01:21Of the tension between the two goals
01:23The stock market's doing more or less what I would have expected
01:33We didn't get the 50 basis point cut, which would have been a shocker
01:37We got exactly what we expected
01:38We were at these similar levels before the Fed announcement
01:44We got a little bit of a spike right after the announcement
01:48We got a sell-off, which is what I would have expected
01:51Buy on rumor, sell on news
01:53Everyone in the entire world knew this 25 basis point cut was coming
01:58It was about a 97% probability
02:01But the bottom line is that just moving forward
02:06What are we seeing?
02:07Mortgage rates are coming down
02:09We just had a record amount of refis that we haven't seen in a while
02:13That means people are going to reduce their monthly mortgage costs
02:17More money in the consumer pocket
02:19And that translates to corporations
02:21It's across the whole economy
02:23I do think that you have to stay bullish
02:27Basically, the market believes there's above 90% chance
02:30That the Fed is going to cut rate for 25 basis points
02:34So this is very well expected
02:35And the focus of the market is basically on the path forward
02:39Rather than the 25 basis points
02:41Growth is slowing down
02:43But at the same time, the situation is not too bad, I would say
02:47We still see the unemployment is still relatively low
02:51Demand of jobs slowed down
02:53But also, as Fed Chair Powell mentioned
02:57Basically, the supply side is also driving this
03:00Because of this immigration slowdown in the US
03:03Well, it's surprising that it's taken this long
03:08For the Fed to continue its rate-cutting program
03:12But it's an encouraging sign
03:14Because the second year of rate cuts
03:17Tend to be encouraging for stock prices
03:20It is a risk management cut
03:22But at the same time
03:23Because the Fed is likely to be cutting rates again
03:26In October and December
03:28It's an effort to put a floor
03:32Underneath a cooling job market
03:35And thereby reduce the risk of recession
03:52And inevitably, the likelihood that it falls would do
03:53In October and December
03:58Now, if you take the airbus 전�
04:02That will require a little counter
04:02More wow
04:03This is a rarement plan
04:04And the respiratory issue
04:05So this is the reason
04:06That shruged
04:06That was on the end
04:07It's a stop
04:07Let thisோ
04:09Thewn
04:09Better
04:09Bit
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