KWM - Fed Meeting and Inflation Data June 14th, 2024

FOMC Meeting – Federal Reserve

Wednesday we had Jerome Powell speak regarding the Federal Reserve meeting this week. The Fed left rates unchanged after the JUNE FOMC. This was expected, as it doesn’t look like the first rate cut will come until September. Below is some observations from our economist Eugenio Aleman and the current odds for rate cuts for the rest of the year.

Consumer Price Index – Inflation Data

We had a much better than expected CPI release on Wednesday for the month of May at 0.0% compared to April. The expectation was for an increase of 0.1% increase. Inflation data has started to come in better than we witnessed in Q1 of this year.

Why is diversification important?

Below is a great breakdown of why diversification is important. It’s a representation of each best and worst performing asset class from 2014-2023. Attempting to jump from asset class to asset class based on your own market research is an easy way to churn your account down to zero. Owning a well balanced portfolio across all asset classes will keep you from making big bets that don’t work out.

ANDREW M. B. KRITIKOS, CFP®

Information was developed by First Trust, an independent third party. The opinions of Brian S. Wesbury, Robert Stein and Strider Elass are independent from and not necessarily those of RJFS or Raymond James.