Did Powell Just Drop the Recession Bomb? Fed Hints at Rate Cuts

In the last FOMC on 13 December 2023, Powell indicated the possibility of interest rate reductions in the near future, citing the current financial climate. Notably, the US has historically lowered rates only during significant global economic challenges. The Great Depression, the 2008 financial crisis, and the COVID-19 pandemic – these are just a few examples where rate cuts acted as a vital tool for stimulating economic growth and preventing financial meltdown. Are we headed to a recession once again? Leap years have had a bad history in the global financial markets. The next year is once again a leap year and markets are currently at all time highs. Whenever there is a recession, a bubble top occurs earlier. 

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