Market Call: Fed Choir All On Same Page

Fed Chair Jerome Powell spoke on Friday at an event at the San Francisco Fed. He repeated what other Fed officials have been saying recently. Solid economic growth gives the Fed "the chance to just be a little more confident about inflation coming down before we take the important step of cutting rates." Inflation continues to moderate on a "sometimes bumpy" path. So there's no hurry to cut rates.

We agree since that has been our view since the start of the year when the markets anticipated several rate cuts starting in March. We are anticipating two rate cuts at the end of the year (during November and December), though we won't be surprised by no cuts at all this year.