Why the Fed shouldn’t be cutting rates ‘at all’ right now

00:00 Speaker A

Is the market pricing in a big year for the Fed? More interest rate cuts, new dovish Fed chairman. We’ll lower interest rates, we’ll get more consumer spending, the Dow will hit 60,000.

00:09 Speaker B

Listen, if you get the new Fed chairman, he will definitely be dovish. We already know this because these will go into Trump’s pocket and he wants to lower interest rates. But there are three or four, maybe five voting members in this camp, slow down for a minute. We don’t really think we should lower interest rates because remember, they could lower interest rates, they would risk, oh they would risk, oh they would reignite the inflation fire, I think that’s where they don’t want to go. That’s why I believe the Fed should do nothing. I think rates are good as things stand, neutral based on the economic data I’ve seen. If Stevie Miron and others are looking at a second set of data and they’re playing games, I have a secret, you know, I can’t help you, but based on what I’ve seen, I don’t think they should cut rates at all. But I think the market is expecting a disruption or two just based on the rhetoric and the narrative they’re pushing.