As expected, the FED cut interest rates by 25 basis points. As short-term intere

As expected, the FED cut interest rates by 25 basis points. As short-term interest rates fall to match that, the dollar index weakens slightly, and the Korean won needs to fall below 14,000 won to be traded near the mid-1380 won level. As the exchange rate falls, the KOSPI is on the rise, but it is dragging its feet in anticipation of a spring dream. Powell is expected to gradually lower interest rates according to his schedule, up to 3.5 - 3.75 percent, which he believes will be neutral in order to normalize interest rates. Therefore, he will cut the rate by 25 basis points next month as well.

The problem will start when Trump takes office on January 20th next year. Trump's multiple-list is tax cuts. To do this, we need to increase the issuance of bonds because tariff increases alone cannot cover the finances. This will all too obviously be a factor in raising interest rates. But Trump will force Powell to speed up the rate cut. They will oppose the rise in interest rates due to bond issuance because it will affect the job market and the U.S. finances, and a significant cut in interest rates will cause inflation. Powell's dismissal is impossible. We expect conflict between the two will continue, and we expect that this conflict variable will cause problems in the market several times.

He also argued that the US fiscal policy, which bears excessive debt, is a risk because it is on an unsustainable path. I believe Trump indirectly stated that if he were to formulate additional fiscal policies, then fiscal policy would be a risk. I take this as a statement that I will respond to monetary policy by freezing interest rates.

Since the last FOMC meeting, Powell has been using the word "recalibration." What readjustment? This will also have a significant meaning. It's time for the gift short that I've been dragging all morning to finish this, so I think it's finally somewhat off. Some will sort it out, some will sort it out around 2. Friday. I have a drinking appointment, but I'm so tired. It feels like someone clubbed my wet body and it's like a droopy laundry. I feel getting older. Take care everyone. Have a nice weekend.....