Analyst: Future Fed rate cuts may depend on Trump's policies

IG market strategist Yeap Jun Rong wrote in a report that the trajectory of future rate cuts by the Federal Reserve may depend on the policies of President-elect Trump, which remain unclear at this stage. He said that Trump's initial remarks on tariffs did sound aggressive. However, he added that the extent to which these measures will be implemented is uncertain. Yeap said that as policy becomes clearer, the Federal Reserve may initially tend to a shallower rate cut cycle. He also said that with the end of the Federal Reserve meeting, unless the Bank of Japan makes an unexpected decision, U.S. stocks may gradually rise in the last few weeks of 2024. However, due to the lack of further catalysts, it may be challenging to reach new record highs by the end of the year. (Jinshi)