Good Wednesday Morning on this best day of the week from your hometown lender,

There is no data today…

And markets are basically flat and coiled ready to react to the Fed rate decision and commentary in just about 90 minutes. I do not expect any change in rate nor any set up for a cut in May. For investors, the big question around the Fed meeting is whether it will wait a little longer to cut rates. The central bank is focused on a different issue: If it waits too long, will it inadvertently cause a recession?

I do think the Fed will still keep cuts alive for the summer…

And I am hopeful they decide to reduce the speed of their own bond sales. That last part, if it comes true, should help bonds get a bid and push interest rates down as it will reduce the supply of bonds available in the market and if demand stays constant, prices should go up pushing rates down.

More on the Fed soon.

Below, I am sharing two graphs to show the impact of raising/rising rates.

Links in images:

Please remain safe and healthy, make today great!