So BlackRock just sent out a warning to its investors and stating that investors might have it all wrong with what's going on with the FED Right right now, it's to be expected that the Federal Reserve is going to cut interest rates. So for those that are unaware because of what's been going on with the banks, uh, because you know, um, what? what's been going on. Not only with our inflation report, we went from 9.1 percent all the way down to six percent is our current inflation rate. You know it's It's to be supported that the Federal Reserve might pivot.

They might go from interest rate hikes to now interest rate Cuts right? It's to be expected that about 1.25 percent is what's going to be cut by the end of 2023. That is what the CME Group has sent out. I Read this article and I found it to be pretty interesting. For those that are unaware, BlackRock is one of the largest if not the largest.

Um, you know institution when it comes down to asset under management. Uh, they have over or nearly 10 trillion dollars. The thing that found to be pretty interesting is their why I Really don't care when people share a specific comment on why I Think the Market's going to do this I Want to understand why and what is leading for you to make this conclusion right or this hypothesis? So it says: BlackRock warns that investors are making a mistake by betting on the FED to Cut Rate. So pretty much what they're saying is that BlackRock does not think that the FED is going to cut rates.

But why why would they think that? And this is where it explains it. We don't see Rate Cuts this year. that was the old Playbook with central banks that would rush into the rescue for the economy as a recession hits. So BlackRock says that as of right now, we're dealing with something different.

Right now, they're rescuing or now they're now. They're causing the recession to fight sticky inflation. And that's what makes rate Cuts unlikely. So the idea of pivoting and actually providing rate cuts that means that inflation has to continue to go down month over month over month, over and over a month, right? These are the CPI data reports that we follow up with the next one's going to be on April 12th.

As of right now, our current inflation rate sits at six percent. We peaked at 9.1 percent. We've been making a steady decline and because of what's been going on with the banks, it was to be expected that now the Federal Reserve should be pivoting. But just like Jerome Powell said, they have a specific goal and that is a two percent Target and they are not going to and he has said this right.

It's not other people, it's the head of the Federal Reserve Jerome Powell says that they will continue with their fight to take control of inflation and get it down to that two percent goal, right? With that being said, they're saying that because of how economic data has been supporting that, you know we have been going down. If it continues to support that, then I could see why the Federal Reserve could justify a pivot right from right hikes to rate cuts. That would make sense. But what BlackRock is warning is about this sticky inflation when we have job reports and or unemployment reports not going down as much as expected when we don't have our economy slowing down as much as expected.

And if inflation continues to support or release data that is showing that inflation is not going away, then the Federal Reserve will have no other choice but to continue with its fight against inflation. And that's what they are saying at the bottom. At the end of the day, the Federal Reserve has one focus and that is to bring down inflation and regard us if they might pivot early on if they see inflation going back up. This expectation of 1.25 percent in rate Cuts means nothing if they're going to have to go back to interest rate hikes to bring back down inflation if it begins to go back up.

Now the only thing that they said is that the only reason we could expect the uh, it says it right here. So we think that the FED could only deliver the rate Cuts priced in by the market if a more serious credit crunch to, um, pretty much takes hold of what has called caused of even a deeper recession. So I think of like things continue to get worse with what's going on with banking institutions, then yes, at that point the Federal Reserve will most likely have to come on in right? The idea of potentially being able to, needing to print money? you know, making sure that these Banks don't fail at that point I Feel like they won't really have an option, but as of right now, supposedly you know we heard it this morning. We heard it the last time that Jerome Powell spoke and supposedly according to the Federal Reserve the banking system is sound and resilient.

This is what the vice chair has said and this is what Jerome Powell has at the head of the Federal Reserve. So the reason I'm sharing this with you is because as of right now, yes, things do look good, right? The only issue is this economic database. The economic data continues to show that inflation is sticky. The Federal Reserve will have to continue to raise interest rates, but if things get really rough for banking for banking stocks and or banking institutions, if more begin to fail then overall we might have to pause the fight against inflation to save these Banks because at that point we might dig ourselves into a deeper hole unfortunately because of the bank's inability to be able to cover their debt right or and or their liabilities.

So overall again, I'm very excited to follow up on the technical side, especially for my Lpp team. One of the things that I want to remind you is on this one hour time frame, we did pull back to the moving average just like we expected, right? we pulled back to the moving average. Now we're testing this EMA Tomorrow we will see if we're going to go long going with Tkiki right if we break Above This EMA and begin to go back up to 313 or if we get rejected here form lower highs and then go back to retest the same support and potentially break below the moving average and then the next support below that is going to be right around 290 which was a previous support range. So I'm very excited to follow up.

and the beautiful thing about that is again tomorrow we do have the vice chair of the Federal Reserve which is Michael Barr speaking at 10 A.M eastern time and I said it once I'll say it again I'll leave it up to you guys. Get this video to over 1500 likes and if it does, I will host a free live stream showing and live streaming microbot right? If you guys don't get the video to over 1500 likes, No, no worries right? I Just won't host the free lives. Make sure you drop a thumbs up. Get this video to over 1500 likes and make sure you subscribe to the channel.

Turn on your post notifications so YouTube alerts you when it is that. I Go Live! Other than that, I Do trade live every morning with our Lpp team and if you want to be able to watch me trade live as soon as tomorrow I Work with one team and one team only. and if you want to learn more about it and especially if you're trying to enter our GTR giveaway again that's the second link in the description down below. Take one minute, learn more about it and I'll see you tomorrow at Market Open for our live session I Appreciate your time like always.

Let's make sure that we're in the year on our green note. Thank you Dizzy Team!.