Impact of Fed Rate Decision on Markets: What to Expect (E69)

This week we have several data points and a crucial Fed rate decision on the horizon. The uncertainty surrounding tariff wars may cause the Fed to react and consider additional rate cuts this year to stimulate the economy and provide relief to struggling sectors. Meanwhile, SPY has additional room to fall if we are to witness the anticipated 20% correction, potentially bringing it below its current support level of 550. The resistance at the 580 mark on the higher time frames indicates a challenging climb ahead for the index. Should this correction materialize, we could see SPY drop as low as 490, a level that many market analysts are closely monitoring. In the cryptocurrency market, BTC is trading below 85k with no sign of improvement, highlighting the volatility and uncertainty among investors. Additionally, the real estate market continues to remain steady, albeit with rates fluctuating between 6.5% and 7% for 30-year fixed jumbo loans, which keeps potential buyers on edge. The interplay of these factors raises the question: What do you think the Fed is going to do this week? Will they reduce their rates by 1/4 of a point, or will they take a more cautious approach given the broader economic landscape?