URGENT: Federal Reserve Announces MASSIVE Rate Cut, Bailout Begins!

Get free life insurance quotes from America’s top insurers and start saving today with Policygenius: https://Policygenius.com/graham | Thanks to Policygenius for sponsoring this video! Let’s discuss the Federal Reserve Rate Cut and what this means for the stock market, housing prices, and your money | Add me on Instagram: GPStephan

GET MY WEEKLY EMAIL MARKET RECAP NEWSLETTER: http://grahamstephan.com/newsletter

THE AUGUST INFLATION REPORT:
It was just reported that inflation only rose by 0.2% in August, which was the lowest level since February of 2021. This effectively puts the 12-month inflation rate at just 2.5%, with Energy being one of the main culprits, having fallen 4%. On top of that, Used Cars and Trucks have declined 10%, new vehicles are down 1.2%, and oil is down 12.1% over a year.

THE STOCK MARKET:
Since the market is always forward-looking, stocks might sell off because rate hikes have already been priced in. For instance, one Investing.com analysis made the argument that investors “front-run” and anticipate future rate hikes – or cuts – and therefore, everything that happened today is already factored into where it’s trading. In terms of what’s most likely to happen in the future, history tells us that it all depends on whether or not we avoid a recession, which means according to all of the data, it appears as though rate cuts do not make AS BIG of a difference as people make it out to be, compared to the overall health of the economy.

HOUSING PRICES:
The good news – for buyers – is that prices are starting to get cut. A recent report found that “The share of available listings that saw a price cut in July rose to 18.9%, causing the median price to fall from $445,000 to $439,000.” Realtor dot com says there are two reasons for this: First, interest rates remain higher than expected (which means less buyer activity) and, two, a lot of would-be buyers are holding out for lower mortgage rates in the future – so, sellers are reducing their prices to entice them back.

In terms of rental prices, new data found that one-in-three property managers offered a concession on rents amid a glut of supply. Apparently, multi-family construction is on the rise, with “more units completed in June than in any month in nearly 50 years.”

The YouTube Creator Academy:
Learn EXACTLY how to get your first 1000 subscribers on YouTube, rank videos on the front page of searches, grow your following, and turn that into another income source: https://the-real-estate-agent-academy.teachable.com/p/the-youtube-creator-academy/?product_id=1010756&coupon_code=100OFF – $100 OFF WITH CODE 100OFF

My ENTIRE Camera and Recording Equipment:
https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB

For business inquiries, you can reach me at grahamstephanbusiness@gmail.com

*Some of the links and other products that appear on this video are from companies which Graham Stephan will earn an affiliate commission or referral bonus. Graham Stephan is part of an affiliate network and receives compensation for sending traffic to partner sites. The content in this video is accurate as of the posting date. Some of the offers mentioned may no longer be available. This is not investment advice.