Prediction: When the Federal Reserve Starts Cutting Rates, These 2 Stocks Will Be Massive Winners

After recent economic data shows that inflation continues to cool off and jobless claims have been a bit higher than expected, it is a virtual certainty at this point that the Federal Reserve is going to cut interest rates at the conclusion of its September meeting, for the first time since March 2020.Investors aren't expecting just one cut. According to the CME FedWatch tool, which tracks interest rate expectations of financial markets, the median expectation is for a total of two full percentage points of interest rate cuts by September 2025. If the rate-cut cycle starts as expected and continues for at least the next year, there are some stocks that could be big winners. One of the effects of the rising-rate environment of recent years has been rising mortgage rates. And while the average 30-year mortgage rate has cooled off a bit from the peak of about 8%, rates are still in the 6.5% ballpark, more than double their level at the beginning of 2022.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool