Stocks climbing as Fed meets and Iran deal calms inflation fears — ride the market rally
Stock market futures are climbing as investors wait for the Federal Reserve's first interest rate decision under new Chairman Kevin Warsh. At the same time, major banks like Wells Fargo are raising their targets for the stock market, believing the worst macroeconomic worries are fading.
Idea
Investors are feeling optimistic heading into the Fed meeting because falling oil prices act like a tax cut for consumers and businesses, helping to ease inflation worries. Major Wall Street firms are becoming more bullish, with Wells Fargo specifically boosting their year-end target for the S&P 500 because they see economic fears fading. If the new Fed Chair Kevin Warsh simply signals that interest rates don't need to go much higher, the stock market could easily rally on the relief. Buying broad market index funds captures this positive momentum.