Oksana Aronov, JPMorgan Asset Management head of market strategy for alternative fixed income, spoke with CNBC on Tuesday.
Says a rate cut is not needed, citing:
- historically low unemployment
- a normal rate environment that markets are no longer used to
- current 4.3% unemployment rate is "certainly well within" the Fed's 5% target, and that any recent weakening is merely a return to normal after years of very tight labor market conditions ... we're not really seeing a broad-based weakening
- retail sales and strong earnings from retailers like Walmart and Target, which she said show signs of a strong consumer
- "The economy is continuing to chug along. There's really no impetus to be alarmist here"
- rates aren't as restrictive as the Fed may have expected ... the market has gotten used to being in a very low-rate environment ..."That's what 15 years of extraordinarily unorthodox monetary policy will do to a market"
Adam generated this pic. Speaks a thousand words it does.
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The Federal Open Market Committee (FOMC) meets today, Wednesday, September 18, 2024. Announcement due:
- at 1800 GMT, 1400 US Eastern time
Earlier:
