The stock market has a sentiment problem, analyst says

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Despite February’s inflation prints, markets remain steadfast in their belief that the Federal Reserve will commence interest rate cuts in June. RBC Capital Markets Head of US Equity Strategy Lori Calvasina joins Yahoo Finance Live to discuss why economic data is forcing the Fed on a cautious path to rate cuts.
Calvasina notes that the recent lackluster data has forced investors to “ratchet down their expectations” significantly for rate cuts. She cites rising “concerns of inflation coming in hotter than anticipated,” saying the muted market reactions to the February CPI and PPI data “make sense.”
However, Calvasina points out that there has been “a stabilization in earnings estimates,” suggesting a strong economy, which leads investors to believe “the Fed can’t possibly cut.” She notes that “the economic narrative has completely flipped.” However, she points out that recession concerns are no longer a pressing issue.
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18 COMMENTS

  1. Great video, I've been interested in investing ever since I came across articles of people making up to $150,000 and more in this period, thanks for the video but is it really possible for a retail investor to achieve this in months?

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