“We do believe that we’re going to see a little bit of a pullback. We’re actually anticipating that.” – 01:31

Ed Siddell, President & CEO of EGSI Financial, joins Remy Blaire to discuss the high-stakes environment surrounding Federal Reserve Chair Jay Powell as he prepares for his pivotal speech at the Jackson Hole Economic Symposium. With increasing pressure from former President Trump and dissent within the Federal Reserve, the stakes are higher than ever. The pair discuss the implications of Trump’s nominee, Steven Moran, who advocates for rate cuts and greater presidential influence over the Fed. If confirmed, Moran could join two existing dissenters, marking a significant shift in the Fed’s dynamics since 1988.

Ed shares his insights on the current market expectations regarding interest rate cuts. Ed expresses skepticism about the market’s anticipation of a 100 basis point cut, suggesting that a more realistic expectation would be a 50 basis point reduction. He believes that the market has already priced in this possibility and anticipates a negative reaction to Powell’s speech, which he expects to be pessimistic.

Ed argues that the Fed may be placing too much emphasis on employment figures while overlooking disinflationary trends, particularly the declining costs of energy. He emphasizes that the current inflation levels are lower than perceived, and the impact of tariffs is not as significant as some may think.

“I would expect the central bank probably to cut.” – 02:07

Matt Cheslock, Equity Trader at Virtu Financial, joins Remy Blaire at the New York Stock Exchange to discuss the current state of the retail market and the implications of upcoming monetary policy decisions. With a significant week for retail earnings upon us, we focus on how American consumers are spending and the broader economic landscape. The annual Fed Reserve Symposium in Wyoming is on the horizon, and we anticipate the release of the Fed Minutes from the July meeting, which could provide insights into future monetary policy.

Matt shares his expertise on the recent market movements. The pair discuss the recent pullback in big tech stocks and the implications for the retail sector, particularly in light of Target’s pre-market shares dropping by about 10% following its latest earnings report. Matt highlights the volatility in the market, suggesting that we may be witnessing a shift in investor sentiment as they react to earnings results.

Matt speculates that a quarter-point rate cut is likely, given the current economic indicators and political influences. He notes that a significant majority of market respondents expect this cut, which could further shape the market dynamics.

“When Prime Minister Modi is making these kinds of tax breaks for its own citizens to increase domestic consumption, it’s because of a fearful tariff environment.” – 01:48

Kerim Kfuri, President & CEO of The Atlas Network, joins Remy Blaire at the New York Stock Exchange to discuss the evolving landscape of global trade and its implications for the U.S. economy.

The discussion begins by breaking down the recent trade agreements the U.S. has established with 20 countries, including major economies like the EU, Japan, and the U.K. However, the pair highlight the ongoing negotiations with China and Mexico, which are currently in a trade truce, while Canada faces significant challenges with a 35% tariff rate. The episode also touches on the visible effects of U.S. tariffs on macroeconomic data, including rising food prices as noted by Federal Reserve Chair Jerome Powell, and a notable drop in the U.S. trade deficit.

Shifting focus to India, Kerim explores how the country’s tax cuts aimed at boosting domestic consumption are impacting global supply chains. Kerim explains that while these measures may stimulate local buying, they could simultaneously hinder exports, leading to increased scarcity and rising prices in critical sectors such as pharmaceuticals, automotive, and agriculture.