Thursday Forex Traders Money Market Update 1st August 2019. Trump has it so wrong.

As expected, the US Fed dropped the official cash rate by 0.25% on Wednesday and Chairman Powell gave no indication the US Fed was now in an interest rate cutting cycle. In fact, he said the cut from the Fed was a “mid cycle adjustment” which really means it’s a short-term adjustment lower in a longer-term plan of adjusting rates back higher in coming years.

The reason why the stock market sold off so strongly and safe havens rallied was because the Fed was not even close to being what is called “Dovish” or bearish about the economy.

You are always going to see stock market traders on Wall Street that are interviewed say things like, “what a disappointment.” They get paid when stocks rise and they’ve been enjoying one hell of a rise for the best part of 10 years. Those who want stocks to continue higher wanted Powell to be bearish, they wanted him to say the Fed would cut further.

There is just so much self interest in financial market commentary it really “shits me” because anyone with any experience knows the US economy does not need a rate cut of 0.50% now and one could argue the state of the US economy right now doesn’t need a rate cut at all. The official unemployment rate is 3.7% and just last month the economy created another 224,000 jobs. We are in the back end of second quarter US company earnings season and more than 75% of major US companies have beaten earnings estimates. Why anyone thinks the US economy needs more than one rate cut simply isn’t following the facts. is a professional trader and successful investor who has a strong focus on education.

He is a regular Sky News Money Channel Guest and one Australia’s most awarded and respected financial experts, and is regularly contacted by the Australian Media for the latest on what is happening with the Australian Dollar.

Director at LTG GoldRock, Andrew Barnett, guides thousands of traders around the world in the live market on a daily basis, advising them on buy and sell directions, as well as trading his own personal account.

Andrew, a regular key-note speaker at trading and wealth-creation events throughout the Asia Pacific region, is an authorized representative registered with the Australian Securities and Investment Commission (ASIC).

Currently Andrew is living his dream life on the Sunshine Coast with his loving wife and three children.