Are More Rates Cuts a Huge Mistake?

The podcast dives into the potential risks of the Federal Reserve cutting interest rates amid high inflation and a robust job market. It analyzes the bond market's health, highlighting low credit spreads that suggest easy borrowing conditions. The discussion shifts to the struggles of small builders facing tighter lending conditions and rising costs. It also tackles how political sentiments are influencing business investment behaviors. Finally, the conversation examines the implications of retroactive tax cuts on economic growth and the challenges ahead for rate predictions.