The Next Interest Rate Drop... Episode 233
Description
The Next Interest Rate Drop...
...will begin to take place after Columbus Day
The Fed released their meeting minutes this week
from the September meeting of the FOMC (Federal Open Market Committee)
Much of the statement was focused on their signaling
of 2-3 rate drops by the end of 2025
1 of those rate drops happened at the September meeting
and its very likely that they will announce another rate drop
at the October 28-29 meeting
the question then becomes
will the drop .25% as they did at the last meeting
or will they be more aggressive and drop .5%?
I believe that it will be .25%
and that they will also drop .25% at the December 9-10 meeting
I am watching this very closely
and my belief is that banks will start pricing in the rate drop very soon
and that it will play out the same way as last month
where the whole .25% rate drop will be priced in
before the actual announcement
the same will likely happen in December
and if you have been following this show
you will know that I have been saying for over a year
that rates will get as low as 5.875% by the end of 2025
and probably bounce back up to 6%
we will be watching closely to see if the Fed's and Banks patterns
of rate drops and bumps up continue
tune into today's show for the details on how it will happen
United States
