Charles Schwab: Fed Decision May Benefit Risk Assets in the Short Term, But Volatility Expected to Remain High

Jinse Finance reported that Charles Schwab analyst Richard Flynn stated that by taking preemptive action, the Federal Reserve is sending a cautious signal in the face of rising downside risks, especially as global growth remains sluggish and policy uncertainty persists. For investors, this is a measured adjustment rather than a dramatic shift. Although this rate cut may provide short-term support for risk assets and could potentially trigger a seasonal 'Santa Claus rally,' volatility may remain elevated as the market needs to assess its impact on future policy and the broader economic outlook.