With Rate Cuts on the Horizon, What Should Investors Do?

With Rate Cuts on the Horizon, What Should Investors Do?

Economist Brian Jacobsen discusses what the Fed’s dovish pivot means for investors.

Reviewed by: etf.com Staff
Edited by: Kent Thune

Financial markets surged after the Fed shocked investors with a dovish pivot in December. But was the rally justified? In this episode of Talk ETFs, Brian Jacobsen, chief economist at Annex Wealth Management, sits down with etf.com senior analyst Sumit Roy to discuss where stocks and bonds head from here, as well as how investors should position their portfolios in 2024.

According to Jacobsen, even though stocks deserved to move higher in the aftermath of the December Fed meeting, they may have moved too far, too fast.

“If we do get a Fed who isn’t just solely focused on hiking or holding until there is pain, to me that brightens the outlook for the broader market. [However], while the move up [in stocks] was justified, I’m just not quite sure if the magnitude of the move up was justified,” Jacobsen said.

Brian Jacobsen is chief economist of Annex Wealth Management. As chief economist, Jacobsen provides insight and leadership to Annex’s clients and its investment committee, which guides client portfolio construction and investment philosophy. An accomplished writer and speaker, Jacobsen’s perspective and expertise have been featured nationally on networks like CNBC and Bloomberg. He has also appeared on Annex’s “Money Talk” weekly radio program in the past.

Talk ETFs is a weekly video series hosted by etf.com’s Senior Analyst Sumit Roy. Episodes highlight up-to-the-minute investing trends and strategies with commentary from leading experts in the ETF industry.