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Hello @48&34, Do you believe the Fed will continuing raising...

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    Hello @48&34,

    Do you believe the Fed will continuing raising rates at the normal pace of 25 base points?
    Or raise rates by a smaller percentage but still at the same speed as before?
    Or.. halt rate hikes after December, for a while and then maybe only raise them .25% every 6 months or so instead of every quarter?



    Hello @sci9249,
    I was only looking at US market numbers for the percentage of algo/quant trading.
    It was/is hard to find an exact figure but the numbers I was finding from google searches were putting it in the 70-90 percentage range.
    I think it may be lower on the ASX though but I can't confirm.

    As the percentage has become larger each year or from each previous crash, I imagine that the downward moves will become a lot more violet for the simple fact of the emotionless automatic selling happening..

    Where as if it was mostly just discretionary trading then there's always another level of "support" to justify not selling yet..



    Hello @Anton Chigurh,

    I understand there's a an oversupply happening in the Oil market and that Trump or or may not have contributed to this fact.. but wouldn't the massive drop in Oil and the reported slow down in demand (from EM's) bear some weight on the Fed's decisions for further rate hikes?

    OPEC have revised down their demand forecasts in 2019 for the 4th consecutive month since July this year...
    Although demand is still forecasted higher than 2018, at this point in time.


    In 2018 we had seen that the majority world's markets all have decent declines before the US markets had even started..
    The US may have likely faltered earlier also if it wasn't for the last 'steroid push' in artifictual growth from the massive corporate tax cuts and stock buybacks.

    Now that peak growth appears to have come and gone then so should have peak profits and peak share prices.



    Fed Chairman Jerome Powell also made what appeared to be a very or 'more' hawkish comment in early October saying that "the Fed was still a long way from neutral".

    Could it be that the Fed speakers sudden change of tone to that of a more "dovish" one, suggests that they're now also seeing data that shows an accelerating decline in Growth..?


    Given that the Fed's interest rate policy is to be 'neutral' and that now growth in the economy appears to be slowing, couldn't this signify that December really is the last rate hike?
    Especially if the Q4 economic indicators show decent retracements and that any further rate hike from here would actually be going against their own neutral policy?
    Last edited by radx: 25/11/18
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