The Most Divided Fed In A Decade Is About To Vote

Dustin Quasney 350 Followers Follow Summary The August jobs report erased labor market weakness concerns, shifting all FOMC focus to inflation and the upcoming CPI print. A hot August CPI could force a rate hike or a deeply divided FOMC, with political pressure from Trump amplifying market uncertainty. Yields are poised to spike, with 10-year Treasuries potentially breaching 5%, compressing the equity risk premium and challenging risk assets. Regardless of the FOMC decision, heightened dissents or a hawkish tilt will likely push yields higher, as bond vigilantes regain influence. mustafaU/iStock via Getty Images So yesterday morning we got the August jobs report and it blew past every estimate. 162k jobs were added but the unemployment rate remained unchanged at 4.1%. And the July report that scared everyone with This article was written by Dustin Quasney 350 Followers Follow I was a business intelligence (BI) analyst and used build tools that help people make better decisions. After that I ran an e-commerce dropshipping business that fortunately worked out very well for me. That experience gave me my first real opportunity to build meaningful savings and begin thinking seriously about long-term investing and financial independence.After stepping away from the business, I spent time traveling and later took a career break to manage a family property following my grandfather’s passing. When COVID slowed everything down, I finally had the time and the capital to study investing in depth.I became especially interested in portfolio management, retirement planning, long-term compounding and high-yield dividend investing. I am here to share my personal investing experiences, research and opinions but not to pretend I have every answer. My writing will reflect how I actually invest, including what I like. If you find it helpful then you’re welcome to follow along. Analyst’s Disclosure: I/we have a beneficial long position in the shares of SPY, QQQ, MSFT, META, AMZN, AAPL, NVDA, AMD either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Note: I do not hold any short positions on Treasuries or equities at the time of writing. My long-term portfolio remains long, mostly AI related equities, but I am hedging my portfolio via Options and Futures Options based on the macro risks I discussed in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.