May 5, 2025

Markets Slide Ahead of Fed – Eyes on June Cut Odds

Things were looking good last week—until Thursday’s weakness turned into Friday’s meltdown. Unfortunately, without a significant softening in the jobs market, we’re unlikely to see any relief from the Fed in the near term.

This week’s Fed meeting likely won’t bring a rate cut, but the wording of their statement will be key. Markets will be watching closely for any hints on future moves. As of now, the probability of a cut in June sits at 27%. I expect that percentage to rise if the economy continues to show signs of slowing.

🗓 Economic Calendar:

• Tues: 10-Year Treasury Auction

• Wed: Federal Reserve Meeting

• Thurs: Weekly Jobless Claims

• Fri: (No major reports scheduled)

📌Have questions about how market shifts could impact your buying power or refi options? Let’s connect and run the numbers.