History says Fed interest-rate cut sets up 'crapshoot' for stock-market investors

William Watts, MarketWatch
September 17, 2024 at 12:00 AM UTC

In a recent MarketWatch article, SentimenTrader's senior analyst, Jason Goepfert highlighted the unpredictable nature of stock market performance following Federal Reserve rate cuts.

What happens to the stock market after the Federal Reserve begins cutting interest rates? The unhelpful answer is that it depends.

"Opinions aside, the imminent cut in the fed-funds rate has been a crapshoot for investors. There was no consistent pattern in forward returns after significant hiking cycles," said Jason Goepfert, senior research analyst at SentimenTrader, in a Tuesday note.

To access Jason Goepfert's full research note and other market insights, visit SentimenTrader.com.