Is the Federal Reserve Going to Start Cutting Rates This Year?

The video discusses the resilience of the business cycle amidst a darkening financial outlook, highlighting risk aversion in the second half of the year. It analyzes various sectors, noting reductions in corporate spending and a cooling housing market as potential recession triggers. Investment strategies remain conservative, focusing on government bonds and defensive equities. The outlook on treasuries suggests room for rate decreases, while inflation remains elevated. The potential for Fed rate cuts is explored, considering scenarios of mild recession or banking sector stress.

In what ways might the banking sector's lending standards impact economic growth?

What are the implications of the Fed's current policy rates on future economic conditions?