1. Fed's recent rate cuts failed to lower market interest rates. 2. Long-term interest rates rose despite cuts, impacting credit costs. 3. Market sentiment is optimistic ahead of possible rate cut. 4. Structural shift in economy may limit Fed's influence. 5. Investors uncertain if future cuts will yield different results.
The Fed's inability to lower long-term rates undermines economic recovery prospects, potentially stalling S&P 500 growth, similar to past periods of ineffective rate cuts.
The Fed's potential rate cut and ongoing ineffective monetary policy could heavily influence investor sentiment and S&P 500 market behavior.
Immediate market reactions are likely due to upcoming Fed decisions; however, structural shifts may render newer cuts less impactful.