Data Says a Fed Rate Cut Won’t Offset Higher Tariffs: JPM's Kelly

The video discusses recent consumer confidence data and the decline in long-term interest rates, noting that these changes have not significantly boosted housing activity or economic confidence. Despite the Federal Reserve's potential rate cuts, the real economy is unlikely to react positively. The video also highlights concerns that lower rates cannot offset the impact of higher tariffs.

What trend has been observed in long-term interest rates over the past year?

• They have significantly increased.

• They have fluctuated unpredictably.

• They have remained stable.

• They have significantly declined.

How has the decline in long-term interest rates affected housing activity?

• It has led to unpredictable changes.

• It has caused a significant decrease.

• It has had no significant impact.

• It has caused a significant increase.

What is the Federal Reserve considering for July?

• Increasing interest rates.

• Maintaining current interest rates.

• Introducing new tariffs.

• Cutting interest rates.

How many rate cuts are the markets expecting by December?

• Four cuts.

• Three cuts.

• Two cuts.

• One cut.

What misconception do people have about the relationship between tariffs and interest rates?

• Higher tariffs can be offset by higher rates.

• Higher tariffs can be offset by lower rates.

• Lower tariffs can be offset by lower rates.

• Lower tariffs can be offset by higher rates.