Will Be No Rate Cut This Side of Christmas, Says Arbuthnot Latham’s Perdon

The video discusses the current state of the market, highlighting the SMP's all-time high and the pressure on Fed Chairman Powell from Donald Trump. Despite the pressure, the speaker believes there will be no rate cuts before Christmas. The potential impact of a trade deal on equity markets is explored, suggesting a rally in Asian exporters. The bond market is analyzed in the context of the 'Everything rally,' with a focus on the implications of not having rate cuts, which could lead to a retracement in bonds and gold, and an aggressive yield curve.

What is the main reason given for why cutting rates might not make sense?

• High inflation rates

• Low unemployment rates

• Pressure from the Oval Office

• Strong economic growth and high equity markets

What is the expected impact of a trade deal on Asian exporters?

• No change

• Significant rally

• Decrease in exports

• Decline in stock prices

What is the 'Everything rally' referring to?

• Decline in inflation rates

• Simultaneous rise in U.S. stocks and bonds

• Growth in Asian markets

• Increase in global trade

If there are no rate cuts, what is the expected outcome for the bond market?

• Increase in bond prices

• Retracement in the bond market

• Decrease in bond yields

• Stable bond prices

What might happen to the yield curve if rate cuts do not occur?

• It will flatten

• It will invert

• It will become more aggressive on the upside

• It will remain unchanged