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Trump says the Fed should cut interest rates. Bessent says this is by how much. - MarketWatch

1. Trump calls for Fed to lower interest rates after July's inflation report. 2. Treasury Secretary suggests a potential 50-basis-point rate cut soon. 3. July's consumer prices show highest increase in six months. 4. U.S. stocks rallied 1.13% following the CPI report. 5. Next Fed meeting set for September 16-17, influencing market expectations.

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FAQ

Why Bullish?

The call for lower interest rates typically boosts stock market optimism, similar to past rate cuts that positively influenced the S&P 500 around 2015 and during economic slowdowns.

How important is it?

Following monetary policy changes can significantly impact investor sentiment and market trends, suggesting a strong correlation with S&P 500 movements.

Why Short Term?

Expect immediate market reactions to Fed decisions, as seen in previous interest rate announcements influencing S&P 500 movements.

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