Mid-week market update: Scheduling notice - I will be traveling for the next 10 days. Barring wild market volatility next week, there will be no mid-week market update next Wednesday, but regular commentaries will be published each weekend.
It's always tricky to write a market commentary on the day of the FOMC meeting, as price moves can be quickly reversed the next day. Coming into the meeting, the market was expecting a quarter-point rate cut, and there were even whispers of a jumbo half-point cut.
A useful barometer of Fed policy from a cross-asset perspective is gold. Gold recent staged an upside breakout to an all-time high. While it's sensitive to many factors, such as unexpected inflation and geopolitical risk, it's also sensitive to changes in real interest rates.
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