BlackRock: Market volatility may rise after the Fed cut 50 basis points

On September 19th, Jin Shi data, Larry Fink, head of the BlackRock Investment Institute, said in a report that the Federal Reserve's decision to cut interest rates by 50 basis points may boost the market in the short term, but if US inflation and economic rise do not meet the Fed's expectations, the risk of increased market fluctuation in the coming months will also increase. "Given the extremely uncertain outlook and the divergence of opinions before the Fed's 'control period,' a nearly unanimous decision may be more surprising than a dissenting one," LSEG Refinitiv's data shows that the market expects the Fed to further cut interest rates by 71 basis points in 2024. "We still believe that the market's expectations for interest rate cuts will ultimately be disappointing, and instead, positive news will come from the resilience of the economy," Fink said.