“This is an example of they’re not cutting because economically things are good. They’re cutting because of the weaker jobs number.” – 03:02
Peter Tuchman, Senior Floor Trader at TradeMas, joins Remy Blaire at the New York Stock Exchange to discuss the recent surge in U.S. stocks following the Federal Reserve’s indication of potential rate cuts.
Peter describes the rally as extraordinary, noting that the Dow has cleared all-time highs and gained triple digits. He explains that the Fed has faced mounting pressure to cut rates, and recent economic data has begun to support this move. Peter emphasizes that the Fed’s decision-making is based on economic indicators rather than political pressure, which surprises many market participants.
Peter humorously remarks on the cultural shift where people now host “watch parties” for corporate earnings, reflecting the increased engagement of retail traders in the market. He points out that the enthusiasm for the Fed’s potential rate cuts has encouraged many investors to re-enter the market, contributing to the rally.