Is it time for a Fed’s rate cut?
- 14 March 2023
- Posted by: Federica Montella
- Categories: eToro CopyTrader, Investing
Wall Street finished mixed on Monday
Yesterday was a positive day for the Nasdaq while the other two major indexes reported losses.
The S&P 500 finished at -0.15%, the Nasdaq ended the trading session at +0.45% and the Dow Jones closed at -0.28%.
After the Silicon Valley Bank collapse, the investors’ sentiment is Extreme fear, as indicated in the graph below:
Sentiment indicator – Fear & Greed Index
The market sentiment is 19, in “Extreme Fear” mode.
Interest rate cut?
Next week there will be the Federal Reserve meeting where will be decided the size of the next interest rate hike or even no interest rate increase at all.
Most economists are in support of a 0.25% rate increase at the next meeting and after that, they believe in a pause due to the financial situation following the fallout of Silicon Valley Bank and the other three banks.
What to watch today
The Consumer Price Index for the month of February will be released today at 12:30 GMT.
The data is expected to be 6% while the previous reading was 6.4%
CPI is crucial to understand the level of inflation and to have a clue regarding the next Fed’s action at the next meeting.
Markets will continue to be volatile today, due to these events.
Portfolio update
I am currently neutral and cautious about the stock market.
I hold long and short stock positions and aim to profit regardless of the market direction.
If you are already copying my portfolio, please keep the copy open.
If you are thinking of copying me, now could be the right time, if you can invest for the long term (years).
Remember to copy the open trades to optimize the copy.
Remember to set the stop loss on the copy at the minimum level, so you don’t get stopped if there is a correction.
Thank you, everyone. Have a nice day!
Steps to follow to copy my portfolio automatically:
1. Create an eToro account here: https://federicamontella.com/go/etoro/
2. Verify your account and make a deposit of at least 200 USD (you can deposit in any currency, like GBP and EUR)
3. Go to my profile page: https://federicamontella.com/go/etoro-passionforprofit/
4. Start the copy (copy open trades and set the lowest stop loss possible, to allow some movement)
5. Enjoy, it’s all automatic. You will make passive income 24/7
Let me know if you have any questions.
Federica Montella
eToro Popular Investor
Follow me on social media
