First, a quick explanation of the bond market and its effect on the stock market. The bond market is a non-accredited market, which means it does not require a license or certification to open a futures account, so long as one holds the minimum bond amount.
In contrast, the stock market has strict requirements for stock brokers and investment advisors to open an account. Stock brokers are required to hold a certain amount of capital as a minimum level of fiduciary responsibility, and the minimum amount is determined by the SEC and most likely regulated by state or local authorities.
And to be sure, there are some areas of the market that are not regulated and therefore free from certain regulations. Therefore, a broker or advisor must be knowledgeable in the financial markets and in the specific area of mutual funds or stocks that he or she will be recommending or trading.
The impact of emergency Fed rate cuts can vary greatly. Some will boost the value of the stock market, some will shrink the stock market, and some will have no effect at all.
That is because the impact of the temporary increase in rates will vary by the various segments of the market that we call the US dollar and gold prices. The impact will also vary by the varying impact on the stock market.
Let’s start with the US dollar. The USD’s depreciation against the other major world currencies will most likely lead to an increased value of the US dollar on the market.
Now, let’s talk about the impact of emergency Fed rate cuts on the stock market. In terms of what has been happening, the impact of the Fed’s decision to raise its rate has most likely led to a mild correction, but only for the short term.
There is a slight tightening in the stock market that is already in place, due to the continued rising costs of FX investments. The impact of the investors that were affected by the sudden rise in the currency values during the last few weeks is already fading out and will probably return to normal over the next two months.
However, the short term impact of the US dollar has led to the weak dollar in the short term. This has caused the FX market to tighten up and the demand for currencies such as the US dollar will almost definitely be somewhat lower than normal.
And this will help the Euro and the UK pound fall slightly, while the USD will stay roughly the same in terms of its strength against the other major world currencies. The impact of the Fed’s decision to raise its rate will most likely strengthen the USD as the market continues to think about future markets.
The impact of the Fed’s decision to raise its interest rates will most likely weaken the Euro. The EUR/USD will start to rise over the next few days, and will stay strong.
And this impact of dollar moves in the market has led to the fall of the Euro in its strength against the US dollar. However, I believe that the weak European currencies will stay strong, as they are more tied into the US dollar.