From Investing.com:

Recently, the focus in the market has been on rate cuts and the potential impact on stocks. Traders are closely watching for any signals from the Fed about future rate cuts in 2024 to gauge the health of the economy. History and data from Ned Davis Research suggest that a slower approach to cutting rates tends to benefit the stock market more than a rapid decrease. When the economy is strong, stocks tend to respond more positively to rate cuts. The numbers show that slow rate-cutting cycles have resulted in higher stock gains compared to fast cycles. Currently, traders are optimistic and may be anticipating gains after the Fed starts cutting rates. The momentum in the AI sector is also contributing to positive market sentiment.

It may be a good time to consider a “buy the dips” strategy in the current market environment. Please note that positions in securities mentioned may change at any time.



Read more at Investing.com: Fed Should Go Slow With Rate Cuts: Here’s Why