The surprising way to get lower rates in ‘25 (not the Fed) – New treasury secretary reveals his plans

__________________________________________________________________________________

Thursday, February 6th

 

“Many are stubborn in pursuit of the path they have chosen, few in pursuit of the goal.”

-Friedrich Nietzsche

__________________________________________________________________________________

 __________________________________________________________________________________

 

Markets Today

🌏 Asia-Pacific: Up

🇪🇺 Europe: Up

🇺🇸 United States: Mixed

🛢️ Oil: Up

⚡Crypto: Down

 

__________________________________________________________________________________

Major Market Events 

• The Elon Musk-Sam Altman feud over OpenAI is turning into a long legal war

• Citi sees gold soaring to $3,000 on trade war tensions

• Wall Street gets mixed bag of earnings before jobs report

 

🤔 My Thoughts

New Treasury Secretary Scott Bessent gave some good news for all of us concerned about high interest rates.

While most rate watchers (correctly) focus on the Fed, it’s not the only knob to turn to get interest rates down.

And Secretary Bessent has announced that he’s focused on getting the 10 year treasury rate down, which directly affects many of the things we care about like car and home loans – and of course this would be good for the market overall.

So with government spending cuts, and lower energy costs from deregulation, Bessent believes we can get rates down even without the Fed.

It’s a tough battle ahead for them… but let’s hope Bessent is right.