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AiF insight | No Rate Cut This Year? Stock Market Crash Ahead?

On April 4th, the US stock market plunged, with the Dow Jones Industrial Average falling by 530 points, marking the largest decline so far this year. Panic spread in the market, leaving many investors bewildered.

The reason is that prior to April 4, many investors, including numerous large institutions and numerous small companies, were predicting that the Federal Reserve would cut interest rates three times this year. However, when there was suddenly another voice in the market saying that not only would there not be three rate cuts, but there might not be any rate cuts this year. So everyone started to panic again, leading to panic selling.

In the article dated March 20, AiF expressed the following viewpoint:《AiF insight | Will Fed cut interest rates this year?》https://www.aifinancial.ca/zh/aifinsight-240320/

Next, several key figures from the Federal Reserve also came forward with statements.

Firstly, on April 3rd, the President of the Atlanta Fed stated: "There may be only one interest rate cut this year."
https://www.cnbc.com/2024/04/03/atlanta-fed-president-bostic-sees-only-one-rate-cut-this-year-occurring-in-the-fourth-quarter.html?__source=androidappshare

Following that, on April 3rd, Federal Reserve Chair Powell stated: "We need more evidence before cutting interest rates."
https://www.cnbc.com/2024/04/03/feds-powell-emphasizes-need-for-more-evidence-that-inflation-is-easing-before-cutting-rates.html

Later, on April 4th, Minneapolis Federal Reserve President mentioned: "There may not be rate cuts this year."
https://www.marketwatch.com/story/feds-kashkari-says-he-expects-two-rate-cuts-this-year-but-its-possible-there-will-be-none-b8365841?mod=the-fed

Subsequently, on April 5th, Dallas Federal Reserve President remarked: "It's too early to consider rate cuts now."
https://www.reuters.com/markets/us/feds-logan-too-soon-start-thinking-about-rate-cuts-2024-04-05/

Dear investors, may I ask: Do you believe in the predictions of real estate brokers and institutions, or do you stand with AiF, aligning with the Federal Reserve?

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