Fed Rate Expectations Fuel Equity Rally
The Fed’s decision and expectations of further cuts, combined with yesterday’s strong macro data, are fueling investor enthusiasm and pushing U.S. stock indices to new record highs. Today, attention is on the BoJ’s decisions and the outcome of the phone call between Trump and Xi (the fate of TikTok and more). Equities are expected to remain on the rise, bonds show a mixed picture, and gold is taking a pause.
Our macro dashboards continue to indicate a strong risk-on environment in the markets. Equity and bond markets are both trending upward, with correlations reaching one-year highs.
On the macroeconomic front, Japan will release inflation data along with the central bank’s decision. Also noteworthy are retail sales figures coming from the UK and Canada.
Our forward-looking analysis suggests another positive day for equities, especially U.S. stocks. Bonds remain in a wait-and-see phase, while commodities show continued signs of caution in precious metals. Volatility remains stable.
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NOTES AND WARNINGS
Data compiled by kbmeter.com. Analysis date: 19 September 2025 - 7:26 AM GMT+1
This content is provided for informational purposes only and should not be considered financial advice. All scores and assessments are based on the previous trading day’s closing prices. Futures indications refer to the date and time of the analysis.
