Nomura’s McCafferty Sees Rotation Out of U.S Equities Into Japan, China Equities

The video discusses the potential changes in the Federal Reserve's interest rates, considering a 25 or 50 basis point cut. It highlights Trump's realization of the need for collaboration with other governments and central banks, especially in light of strong US dollar impacts on exports. The discussion also covers global events, such as TSMC's capital expenditure increase, and their influence on the Fed's cautiousness. Additionally, the video examines the implications of rate cuts on stock markets, emphasizing the role of share buybacks and potential shifts in equity investments from the US to Japan and China.

What is the significance of TSMC's decision to increase its capital expenditure budget in the context of the trade war?

How might lower interest rates affect equity prices and share buyback programs according to the discussion?