XRT - Will Unemployment Spike In 2024? History Of Fed Rate Cuts Would Suggest So | Benzinga
The last set of jobs data showed the unemployment rate fell to 3.7% in November, while the Fed said on Wednesday it didn’t expect the jobless rate to rise higher than 4.1%. But historical data suggested around 7.5% of Americans could be without work within the next couple of years.
The sobering data from Reventure Consulting showed that since 1950, shortly after the Federal Reserve made its first rate cut the rate, of unemployment spikes.
Historically speaking, the first rate cut comes three months before the unemployment rate starts to rise and, on average, the jobless rate rises to around 7.5% during a Fed easing cycle,” a post on the The Kobeissi Letter X account said.
This is incredible:
Just about every time the Fed started CUTTING rates dating back to 1950, the unemployment rate has spiked.
Historically speaking, the first cut comes 3 months BEFORE the unemployment rate begins to spike, according to Reventure.
On average, the ...