Balancing on the Edge: Critical Factors Impacting Markets in 2024
Posted August 22, 2024
The new Macro Watch video examines six critical factors that could have an outsized impact on the economy and the financial markets during the months ahead. They are:
- The very high Wealth To Income Ratio in the United States,
- The lingering effects of the massive fiscal and monetary stimulus since 2020,
- Quantitative Tightening,
- The approaching Fed Rate Cuts,
- The Yen Carry Trade, and
- The impact of protectionism on interest rates.
Inflated asset prices, QT, the unwinding of the Yen Carry Trade, and the threat of protectionism have negative implications.
Fed rate cuts should be beneficial – although they could spark another selloff if they force investors out of the Yen Carry Trade.
The lingering effect of Covid-related stimulus should continue to be positive, but, even here, QT is steadily reversing the stimulus on the monetary side.
It appears likely that more volatility is on the way.
Macro Watch subscribers can log in and watch this video now for all the details.
This video is 15 minutes long and contains 33 slides that can be downloaded.
If you have not yet subscribed to Macro Watch and would like to, click on the following link:
For a 50% subscription discount hit the “Subscribe Now” button and, when prompted, use the coupon code: Edge
You will find 100 hours of Macro Watch videos available to watch immediately. CLICK HERE to see a list of all the videos in the Macro Watch archive.
A new video will be added approximately every two weeks.
Please share this blog post on X, Facebook, and LinkedIn.