FRANKFURT (DEUTSCHE-BOERSE AG) – FOMO, the fear of missing out, is driving many into equities. Joachim Goldberg knows whether optimism could stand in the way of further price gains.
September 19, 2024 – For a week now, the attention of investors in Germany has also been focused primarily on the US Federal Reserve, which is expected to cut interest rates at the Federal Open Market Committee meeting that ends tonight (CEST). But it is astonishing how expectations about the magnitude of this move have changed since our last sentiment survey. While the probability of a major interest rate cut of 50 basis points priced into the futures markets was still below 20 percent a week ago, it has now risen to over 60 percent. This is not because the economic data published during this period made such a change necessary. Rather, changes in the views of commentators and the media over the past weekend have apparently led to a reassessment…
